Alcoa To Sell Packaging,Consumer Units To Rank For $2.7 Billion

Alcoa Inc. (AA) agreed to sell its packaging and consumer businesses to New Zealand-based Rank Group Ltd. for $2.7 billion.

The deal is expected to close by the end of the first quarter.

The businesses generated about $3.2 billion in revenues and $95 million in after-tax operating income in 2006, equivalent to about 10% of the New York-based aluminum company’s total revenue and 3% of its after-tax operating income.

The deal includes the sale of the Closure Systems International, Consumer Products, Flexible Packaging and Reynolds Food Packaging units.

The businesses to be sold have about 10,000 employees in 22 countries.