Owens Illinois Inc. accepted a takeover offer.

The Toledo, Ohio-based firm agreed to a $3.66-billion takeover proposal from Kohlberg Kravis Roberts & Co., a New York investment firm. Under the agreement, OII Holdings Corp., a company formed by Kohlberg Kravis, will immediately begin a cash offer of $60.50 per share for all Owens-Illinois outstanding common shares and $363 per share for each of its $4.75 convertible preference shares. The merger agreement was subject to 32 million shares being tendered. Owens-Illinois primarily is a manufacturer of containers and other packaging products.