Novelis Inc., an aluminum producer with its U.S. headquarters in Atlanta, says it has signed a definitive agreement to sell its North American consumer foil products business to Reynolds Consumer Products Inc., Lake Forest, Ill., for approximately $35 million.
The transaction includes the sale of foil manufacturing plants in Toronto and Vancouver, British Columbia, and sales offices and distribution facilities in Mississauga, Ontario, and Montreal and in LaGrange, Ga.
“The North America consumer foil products business is a successful part of our company; however, it is not aligned with Novelis’ growth strategy,” says Marco Palmieri, senior vice president and president of Novelis North America. “Our primary focus is to continue our growth in the premium markets of automotive, beverage cans and specialty products and to expand our recycling leadership,” he adds.
Over the past three years, Novelis has invested $1.7 billion in global expansions to serve what it calls its core markets.
The sale of Novelis’ consumer foil products business is subject to regulatory and other approvals. The consumer foil products business employs approximately 200 people.