Owens-Illinois Inc: Attractive Risk/Reward With 20% Upside
May 13, 2015, 7:48 AM
- Owens-Illinois (NYSE:OI) agrees to acquire Vitro’s food and beverage glass container business for $2.15B in a move that will allow OI to expand in the growing market for food packaging in Mexico.
- OI expects the deal to add $0.50 to EPS in the third year after closing and to generate $945M/year in revenue; the deal is expected to close within a year.
- OI will add Vitro’s five Mexican factories and one in Bolivia, and retain the leadership of the company’s food-and-beverage operations.
- OI +2.7% premarket.
Owens-Illinois, Inc. produces glass containers for beverages, spirits and wine. The company also produces glass packaging for a variety of food items, soft drinks, teas, juices and pharmaceuticals. It manufactures glass containers in a wide range of sizes, shapes and colors. The company operates... More
Sector: Consumer Goods
Industry: Packaging & Containers
Country: United States
Other News & PR