* Deal price including debt $1.225 bln
* Heineken to book exceptional gain of 300 mln euros
* Empaque acquired in 2010 as part of FEMSA beer deal
(Adds more on deal, Heineken in Mexico)
AMSTERDAM/BRUSSELS, Sept 1 Dutch brewer Heineken
has agreed to sell its Mexican packaging business
Empaque to Crown for $1.23 billion including debt,
shedding a non-core business it acquired when entering the
Mexican market in 2010.
The world's third-largest beer maker said on Monday the sale
would allow it to focus resources on brewing and marketing its
lagers, ales and ciders.
Heineken said the sale of Empaque, which generated revenue
of $660 million and earnings before interest, tax, depreciation
and amortisation (EBITDA) of $130 million in 2013, would result
in a post-tax book gain of about 300 million euros ($394
The deal will preserve Empaque's position as a can, cork and
glass bottler supplier for Heineken through long-term contracts.
The Dutch company said it was already on course to reach its
target of a net debt/EBITDA ratio below 2.5 times by the end of
the year, when the deal was expected to close, although Monday's
announced sale would give it further financial flexibility.
At the end of June, that ratio stood at 2.5 times.
Heineken became the number two player in Mexico when it
bought the beer business of Mexican bottler and retailer FEMSA
in 2010. The latter now owns 20 percent of
Heineken directly or via Heineken Holding.
Food packaging company Crown, based in Philadelphia, is a
leading drinks can and metal container maker operating in 40
Heineken said that Moelis & Company UK LLP and Gibson Dunn &
Crutcher had acted as its advisers for the transaction
($1 = 0.7613 Euros)
(Reporting by Anthony Deutsch in Amsterdam, Philip Blenkinsop
in Brussels; Editing by Mark Potter)