A logical move?
Trivium: (noun), an introductory course at medieval university involving the study of grammar, rhetoric, and logic.
There was some breaking news during the week, as Ardagh will combine its Food & Speciality Metal Packaging business with Exal Corporation, a producer of aluminium containers, to form Trivium Packaging.
With consolidation continuing to become a major theme within the industry, it’s no surprise to see another global player emerge. The combination of Food & Speciality with Exal will create one of the largest metal packaging companies in the world. Headquartered in the Netherlands, it will operate 57 production facilities, principally across Europe and the Americas, employing approximately 7,800 people. Paul Coulson, chairman and CEO of Ardagh, will be chairman of Trivium. Michael Mapes, CEO of Exal, will be CEO of Trivium.
Interestingly however, Ardagh will only hold a 43% share in the company, with the remaining 57% controlled by Ontario Teachers’, the holding company of Exal. With Ardagh’s business model built on acquisition, the fact that the company is able to pay off a huge chunk of its debt is no small matter you’d like to think. Later this week we’ll bring you some analysis of this, once we’ve had some time to dissect the news and speak to a few of the key players involved.
With the deal expected to be finalised in Q4, time will tell as to whether this new can making organisation was a logical move for Mr Coulson.