Russia-led group invests in Arc
Global glass manufacturer Arc gets injection of €250M from a group of private investors
A group of private investors led by Russia’s sovereign wealth fund has agreed to invest as much as €250 million ($272 million) in leading global glassware manufacturer Arc, the companies reported.
The consortium includes the Russian Direct Investment Fund, France’s CDC International Capital and Bahrain Mumtalakat, according to a statement. The companies preliminarily agreed to the Arc investment in June, and to date have completed the “first drawdown” of €50 million.
Arc makes dinnerware, drinkware and glassware, among other products.
Kirill Dmitriev, CEO of the Russian Direct Investment Fund (RDIF), says: "This transaction is an example of an effective cooperation in the financial and industrial sectors between the partners from Russia and France. We are grateful to Minister Macron for his support of the Russian-French investment platform in general and this transaction in particular. The construction of a new unique production complex in Kaliningrad, incorporating the most innovative technological solutions, will enable Arc to become the most efficient glassware producer in the world, supplying both Russian and European markets."
Tim Gollin, Arc's president and CEO, says: "Last month, in addition to announcing we had started production of fine unleaded crystal glass in France, we launched 450 new products. We are delighted with the very positive customer reaction, and this investment with the strong support of both Russian and French governments will help us to build capacity and improve efficiency in all our plants so that we can continue to deliver great products at affordable prices to all of our customers and respond to the overwhelming market demand."
The proceeds will be used by Arc to implement its global investment program to accelerate its growth, including the modernisation of its facilities in France, expansion of its existing production facilities in Russia and construction of a new state-of-the-art glassware plant in Kaliningrad.