22nd Mar 2016 10:33
LONDON (Alliance News) - Atlas African Industries Ltd said Tuesday it has signed a memorandum of understanding with Ethiopian brewer Raya Brewery Share Co for the supply of glass bottles, once its Chancho bottling factory has been built.
Atlas said under the memorandum, signed through its Ethiopian subsidiary TEAP Glass PLC, it will regularly supply international standard glass bottles to Raya, in substitution of the imported bottles which it currently uses. It said the agreement was subject to confirmation of quality.
Atlas said it will work with Raya to finalise a full agreement once the development of the Chancho bottle project is completed.
Atlas is currently still in the development stages at its Chancho glass bottling factory, and expects to begin commissioning of the facility in 2018 before full production can commence sometime in 2019. Earlier in March, it appointed an Ethiopian firm to provide a full range of services to assist in the construction of the project.
"This relationship underlines the demand for bottles in Ethiopia and the exceptional opportunity that we have. The Ethiopian consumer market is rapidly transforming the country into a manufacturing powerhouse and so we look forward to working with Raya, as well as identifying further opportunities," said Chief Executive Carl Esprey.
Shares in Atlas were up 6.3% at 0.340 pence on Tuesday.
By Hannah Boland; [email protected]; @Hannaheboland
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