Guala Closures has acquired 60-year-old German aluminium closure manufacturer Closurelogic GmbH. The deal is worth approximately €12.2 million ($13.5m), of which €4m ($4.5m) is for inventory.

The Worms-based manufacturer predominantly produces aluminium closures but also makes combination closures for edible oil that include an HDPE pourer and anti-refill device. The agreement foresees the continued production in the current German facility.

In 2018, the company posted sales of €52.5m ($58m) and an EBITDA of around €1.6m ($1.8m).

This deal will allow the Guala Closures Group to significantly increase its current negligible presence in the German market and open up production capacity to serve new clients.

Marco Giovannini, group chairman and chief executive, said: “This transaction is in line with the group’s strategy to selectively consolidate the market and in particular the glass bottle mineral water one, a strongly growing market thanks to increasing focus on sustainability and premiumisation. The deal structure guarantees Guala Closures the possibility of acquiring only the assets of Closurelogic GmbH, without taking on board the liabilities generated by the previous management”.

The deal is expected to close at the start of February.