Vitro’s Q3 results for 2015 show that following the sale of its Food and Beverage division to Owens Illinois (O-I), the company is financially stronger and planning to invest US$85 million in its float glass operation in Mexico.
On September 1, 2015, the sale of the Food and Beverage Glass Containers division to O-I was completed, cash and debt free, with proceeds to Vitro of US$2.15 billion.
Mr. Adrián Sada Cueva, CEO of Vitro, said: “This quarter marks a significant milestone for Vitro as we finalised the divestiture of our F&B Glass Container business and paid off our debt.
“As a result, Vitro is now a much stronger company – both operationally and financially.
“Our two key businesses performed well in the quarter.
“First, strong market dynamics in the domestic construction market as well as higher demand from OEMs were the main drivers behind the overall increase in sales.
“Second, strong demand in the Glass Containers business from the pharmaceutical segment more than compensated weaker fragrances sales in the US and Brazil.
“To capitalise on the attractive potential we see in the Mexican automotive and construction industries, and to support the growth of our customers in these markets, we plan to invest US$85 million to expand our float glass production capacity in Mexico.
“This investment includes the construction of a new float glass furnace, and a capacity expansion at our Mexicali float glass furnace.
“These investments will allow us to strengthen our leading position in OEM market in NAFTA, particularly in Mexico.”