Brasilata boosts capacity with equipment acquired from closing plant

Brasilata will increase its canmaking capacity in Brazil with the acquisition of equipment from Metalgráfica Renner, which has recently closed its plant at Gravataí, in the southern Brazilian state of Rio Grande do Sul.

Brasilata’s chief executive Tiago Forte told The Canmaker that amongst the equipment are presses, assembly lines, a varnishing machine and a modern two-colour offset-litho press. The equipment will be used across its five canmaking plants, located in Estrela, Rio Grande do Sul; Barra do Piraí, Rio de Janeiro; Recife, Pernambuco; Rio Verde, Goiás; and Jundiaí, São Paulo.

“The acquisition will help expand production capacity, as some processes are currently bottlenecks for Brasilata, especially the varnishing and lithography stages. In this context, the lithography machine is very important, since, in addition to being modern and fast, it specialises in quick changeovers,” explained Forte.

The strategic acquisition will strengthen Brasilata’s position as a packaging supplier for the chemical and food segments, said the canmaker, which had sales of BRL1.2 billion last year.

“Recent market data indicates that the [canmaking] sector is expanding, with demand expected to increase significantly in the coming years,” said Forte. “In addition, the Brazilian market is still highly fragmented, with a significant oversupply. This points to an opportunity for consolidation that should accelerate in the coming years, allowing the company to gain scale and efficiency. The acquisition not only aims to address current challenges, but also to position the company more competitively in an evolving market.”

The canmaking operation for paint manufacturer Renner was founded in 1933. It supplied cans for a wide range of segments, including paints, solvents, adhesives and chemicals, as well as food products.