Ardagh Glass Packaging-Europe (AGP-Europe), a division of Ardagh Group, has reached an agreement to acquire the renowned Swedish glass recycling company Svensk Glasåtervinning (SGÅ). The deal is awaiting regulatory approvals expected in the second quarter of 2024.
For over 30 years, SGÅ has been a leader in collecting and recycling glass packaging in Sweden, contributing to the country’s impressive 90% glass recycling rate. Recent changes in regulations will now require Swedish municipalities to take on glass collection responsibilities starting in 2024.
AGP-Europe’s acquisition of SGÅ aims to support Sweden’s circular glass recycling system in light of the new regulations. This move ensures a consistent supply of high-quality glass cullet for sustainable glass packaging production within Sweden, reducing the need for exporting glass for processing elsewhere.
In the words of Martin Petersson, CEO of AGP-Europe: “Purchasing SGÅ complements our glass production in Sweden perfectly. It secures the glass recycling system, enabling us to maintain a sustainable supply of recycled glass cullet for environmentally-friendly glass packaging.”
Magnus Andersson, CEO of SGÅ, stated: “Ardagh’s expertise in the glass industry, particularly in glass recycling, makes them a valuable partner for us. We are excited to work together on long-term plans for the company and continue our legacy as a top-tier glass recycler.”
AGP-Europe is acquiring the shares of the other co-owners of SGÅ, making it the sole owner of the company. SGÅ will retain its current name and operational model, focusing on glass packaging waste collection and glass cullet sales.
One of the co-owners selling shares to AGP-Europe is the Swedish Brewery Association. CEO Anna-Karin Fondberg expressed her satisfaction with the sale, emphasizing the importance of sustainable glass packaging with a low carbon footprint for the food and beverage sector.
This acquisition marks the culmination of a nearly 40-year journey as SGÅ was founded in 1986 by PLM, a company that previously owned two glassworks in Sweden, one of which was in Limmared. In 2007, the Limmared glassworks was sold to Ardagh Group, where glass packaging for global brands is produced.