S.Africa's Nampak buys Nigerian can manufacturer - CNBC Africa

S.Africa's Nampak buys Nigerian can manufacturer

Southern Africa

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Alucan Investments makes cans for the beer, malt and the soft drink industry. PHOTO: Getty Images

The million dollar deal also included the option to purchase a plastic packaging facility.

The acquisition of Alucan Investment Ltd forms part of the packaging firm's stated intention to boost sales from outside its home market.

[DATA NPK:NAMPAK LTD.] has said it aims to grow its sales contribution from the rest of Africa to 35 per cent from about 20 per cent now.

Under the deal, Nampak has a 10-year option to buy a related company involved in rigid plastic packaging in Nigeria, if and when the owner decides to sell.  

The company also said it was considering the expansion of its Angolan can manufacturing facility to meet growing demand in the oil-rich southern African country.

Alucan Investments Ltd makes cans for the beer, malt and the soft drink industry with the capacity to make 1.1 billion cans per year.

Shares in Nampak rose 3.5 percent to 31.83 rand, outpacing a 0.4 percent rise in the JSE All-share index.

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