By Foo Yun Chee
BRUSSELS (Reuters) - U.S. drinks can maker Ball Corp (N:BLL) is set to win EU approval for its 4.43-billion-pound takeover of Rexam Plc (L:REX) with an improved package of concessions, two people familiar with the matter said on Thursday.
The world's two largest beverage can makers by volume are seeking to merge to better manage capital spending and costs. The deal however triggered concerns in the European Commission that it would drive up prices for companies and consumers.
Last month, Ball offered to sell 11 plants across Europe, nine of which make cans and two produce can ends. Rivals and customers however wanted a better mix, with more factories making aluminium cans rather than steel which is an old technology.
Ball subsequently fine-tuned the package, the sources said, declining to provide details.
Rexam's shares rose as much as 1.2 percent to 590 pence after the Reuters story, outperforming the FTSE 250 (FTMC) midcap index which was 0.4 percent lower at 1147 GMT.
Commission spokesman Ricardo Cardoso declined to comment. Ball spokeswoman Renee Robinson did not immediately reply to an email for comment. A Rexam spokesman could not be immediately reached for comment.
The first package of concessions involve four factories in Germany, three in the UK, one each in Spain, France, the Netherlands and Austria.
The companies have hired investment bank Goldman Sachs Group Inc (N:GS) to find buyers for the assets, which could have as much as $200 million (£132 million) in annual earnings before interest, tax, depreciation and amortisation, according to other sources.
The can makers' customers include Coca-Cola Co (N:KO) and Anheuser-Busch InBev (BR:ABI).