Aluminum packaging conglomerate Alcan Packaging says it has reached a signed agreement to acquire the Tubapak cosmetic tubes manufacturing facility in Russia—just outside of Moscow—in a move to cash in on that country’s fast-growing beauty products market.
“This acquisition clearly illustrates our growth strategy,” said Ilene Gordon, president and chief executive of Paris, France-headquartered subsidiary of the global mining giant the Rio Tinto, the parent company of Montreal-based Alcan Inc.
A prominent manufacturer of plastic tubes for the Russian cosmetic and personal-care markets, the 7,000-square-meter Tubapak facility “will enable us to significantly increase our capability in the attractive central and eastern European markets,” explains Gordon, “allowing us to develop a competitive industrial base from which to better serve our customers.”
Located in the Moscow-region city of Noginsk, the Tubapak plant is reported to have annual production capacity of 37 million tubes, which is expected to double later this year with the launch of another production line, according to the company.
The deal, still pending approval by the Russian authorities, represents a first major foray into Russia for Alcan Packaging’s cosmetics division, which last year accounted for US$850 million of Alcan Packaging’s worldwide revenues of US$6.2 billion.
“Our strategy is to accompany our global customers as they develop new products and enter new markets,” sates François Luscan, president of the Alcan Packaging Global Beauty division.
“This acquisition, our first in Russia, will enable us to meet existing supply contacts and, as we increase the plant’s capacity, to grow in this region,” says Luscan.
Alcan Packaging’s cosmetics unit currently operates 12 production facilities in Europe, with seven of them specializing in the manufacture of plastic or laminated tubes.