In order to cater to the growing demand for beverage cans in Turkey, Crown Holdings Inc. CCK has decided to set up a second line at its Osmaniye plant in Turkey. The new line will more than double the plant's annual production capacity to over 1.7 billion cans.
Crown Holdings operates two beverage can plants in Turkey, one at Izmit and another at Osmaniye, manufacturing a wide range of aluminum can sizes. The Osmaniye plant, which began commercial operations in the second quarter of 2012, currently produces 800 million beverage cans, serving customers in Turkey and neighboring markets.
Crown Holdings is investing in the new capacity due to rising beverage can demand in Turkey. Sales of empty beverage cans exceeded 2.6 billion units last year in the region, and surrounding countries as aluminum beverage cans are easy to carry, freezes rapidly and are 100% recyclable.
The second line at Osmaniye plant is expected to be operational in the first quarter of 2017. The new line will initially produce approximately 900 million two-piece aluminum beverage cans annually in multiple sizes.
In recent years, Crown Holdings has expanded its beverage can business in Asia, Brazil and Eastern Europe to meet increased demand driven by rise in per capita income and consumption, as well as a shift in packaging mix to two-piece aluminum beverage cans from other packages. In 2014, the company commenced production at its new facility in Teresina, Brazil.
Crown Holdings is building a new beverage can plant in Monterrey, Mexico with an initial capacity of 2 billion cans. The plant would enhance the company’s strategic position in beverage cans, both regionally and globally.
Philadelphia-based Crown Holdings is a leading supplier of packaging products to consumer marketing companies. The company manufactures aluminum beverage cans, food cans, aerosol cans and other packaging products.
Crown Holdings currently holds a Zacks Rank #4 (Sell).
Some better-ranked players in the same industry include Greif, Inc. GEF, ACCO Brands Corporation ACCO and AGCO Corporation AGCO. All these stocks hold a Zacks Rank #2 (Buy).
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Be the first to comment