The total enterprise value of the transaction amounts to US $1.225bn. The transaction is expected to close by the end of the year and is subject to customary closing conditions and required regulatory approvals.
Divesting the Empaque packaging operations will allow Heineken to focus its resources fully on brewing, marketing and selling its portfolio of beer brands.
In 2013, Empaque generated revenue of €495m, mostly intercompany, and Ebitda of €96m. The 2013 EBIT (Beia) was €67m.
Empaque’s financial results to date have been included under the ‘head office’ reporting unit in Heineken group results.
Following the divestment, Empaque will remain a key strategic supplier to Cuauhtémoc Moctezuma, Heineken’s wholly owned subsidiary in Mexico, through long-term supply contracts.
The sale is expected to result in a post-tax book gain of approximately €300m. This will be reported as an exceptional item.
Empaque was acquired by Heineken in 2010 as part of the Femsa Cerveza acquisition, and produces metal beverage cans, crown corks, aluminium closures and glass bottles. A transfer of ownership to Crown, a dedicated, global leader in consumer packaging, will benefit the development of Empaque in the long-term and is expected to deliver additional career opportunities for its employees.
Source: Heineken
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