Castel said it had signed a letter of intent Alver’s owner, Condor Electronics relating to the acquisition of 100% of the capital of Alver.
In a statement Castel said: "With the acquisition of a glass factory in Algeria, Castel Afrique is strengthening its diversification strategy by developing green and local production."
"Present in Algeria for nearly 20 years and a major player beverages in Africa, Castel has signed a letter of intent with Condor Electronics for the acquisition of 100% of the capital of Alver spa.
“This operation confirms Castel's desire to develop its activity in Algeria, where it already has 3 industrial sites, while working to reduce the use of plastic.
“Alver is the leader in Algeria in the production and marketing of glass products. Based in Oran for over 70 years, Alver produces glass bottles and jars for the local beverage and food market. Alver's production mainly covers the local packaging market.
"This investment responds to Castel's desire to promote the independence of its activities with regard to imports of inputs and packaging and to reduce the share of PET (Polyethylene terephthalate, a plastic oil-based) while helping to develop returnable and recyclable glass.”
With existing glass factories in Cameroon, Angola, and Morocco, the company plans to expand production capacity, increase sales of bottles in Algeria, and use the country as a base for exporting to West Africa, Europe, and the West.
In line with its goal of promoting economic self-sufficiency in the regions where it operates, the factory will primarily use locally sourced materials, particularly sand.
Castel will also invest in modernizing the industrial facility and developing the skills of its workforce to support its long-term growth.
The Alver glass factory was acquired in 2018 by Condor Electronics from the Italian subsidiary of the French group Verallia.