February 15: Ball Corporation will be making aerosol containers again when it acquires the North American and Argentine operations of US Can Corp.
Illinois-based US Can is the largest manufacturer of tinplate aerosol cans in the US with a 55 percent market share, and also makes paint cans, speciality cans and plastics containers. Customers include SC Johnson, Reckitt, ConAgra, Sherwin Williams and Procter & Gamble.
The deal, which is expected to be completed by the end of March, involves the transfer of 1.1 million Ball shares and repayment of US$550m in debt to US Can’s owner, private-equity firm Berkshire Partners, based in Boston. Ball will acquire ten plants in the US and two in Argentina, employing 2,300 and with sales of almost $600 million.
US Can’s European business, with sales of about $250m, will be retained by US Can’s shareholders. USC Europe makes tinplate aerosol cans for personal care, household, automotive, paint and industrial products and food cans.