Amcor to acquire Mexican tobacco packaging plant

Amcor announces to acquire the Aluprint tobacco packaging plant in Monterrey, Mexico for nearly US$40 million.

The Australian packaging company, which recently announced the purchase of a tobacco packaging operation in Argentina, says this acquisition establishes a local presence in Mexico, a large and strategically located market for tobacco packaging.

Amcor's Managing Director and CEO, Ken MacKenzie, says: "The Aluprint acquisition continues the strategy of expanding our presence in Latin America.

"Our strong customer relationships coupled with our market leading position in North America provides the opportunity to significantly increase sales on the existing asset base."

According to Amcor, the Monterrey plant was constructed in 2009 at an approximate cost of US$40 million and the acquisition price represents the book value of assets acquired, comprising the plant at Monterrey, a cylinder engraving operation and working capital. The business has sales of US$30 million.

Amcor expects the transaction to close in early July.