Ball Corporation has sold 41% of its ownership interest in its Saudi joint venture, UAC, to ORG Technology for approximately USD $70 million while retaining a 10% stake, strengthening their partnership and positioning both companies for growth in the regional packaging industry.

Information on the Target

Ball United Arab Can Manufacturing Company (UAC) is a joint venture based in the Kingdom of Saudi Arabia, where it has been recognized for its innovative approaches in can manufacturing. Originally, Ball Corporation held a 51% stake in UAC, positioning it as a significant player in the regional packaging industry. Following the recent transaction, Ball Corporation retains a 10% ownership interest, allowing it to remain influential in UAC's strategic direction.

The sale involved the transfer of 41% of Ball's ownership interest in UAC to a subsidiary of ORG Technology Co., Ltd. (ORG) for approximately USD $70 million, subject to standard closing conditions. This move indicates a strategic alignment between Ball Corporation and ORG, facilitating operational efficiencies and innovative synergies.

Industry Overview in the Kingdom of Saudi Arabia

The packaging industry in the Kingdom of Saudi Arabia is experiencing robust growth, driven by an increase in demand for consumer goods and the expanding beverage market. The Saudi government’s Vision 2030 initiative emphasizes economic diversif