Hart Eyeing Alcan Assets For Packaging Empire — Report

SYDNEY (Dow Jones)-New Zealand billionaire Graeme Hart is believed to be considering a bid worth up to US$5 billion for the packaging arm of Alcan Inc. (AL), which was absorbed as part of Rio Tinto Ltd.'s (RTP) acquisition of the aluminum giant last year, Australian newspapers reported Friday.

Citing unnamed sources, the Australian Financial Review says Hart’s private company Rank Group is considering the assets in efforts to bolster its global packaging business ahead of a potential spin-off.

Rank agreed last week to pay US$2.7 billion for Alcoa Inc.'s (AA) packaging business, continuing Hart’s aggressive build up of packaging assets in the past two years that started with the takeover of New Zealand’s Carter Holt Harvey last year. Earlier this year he bought U.S.-based Blue Ridge Paper Products, packaging assets from U.S.-based International Paper Co. (IP), and Swiss drink cartons maker SIG.