IP completes acquisition of Sabanci shares in Olmuksa
International Paper becomes majority shareholder in the corrugated packaging company Olmuksa in Turkey.
International Paper (IP) has finalised the acquisition of a 43.7% stake in the Turkish joint venture company Olmuksa owned by the JV partner Sabanci Holding for a total consideration of TRL101.2m ($56m) or TRL7.1 per share. The transaction sees International Paper become the majority shareholder, holding approximately 87.5 percent of Olmuksa's outstanding shares and triggers a mandatory call for tender of the remaining 12.5% of public float, IP explained.
According to IP, the Turkish corrugated market is currently the 7th largest in Europe with expected average annual growth rates of above 5%. "The country is also strategically positioned to serve as potential growth platform to the Middle-East", the Memphis-based company said.
Olmuksa International Paper Sabanci joint venture was established in 1998 and is said to be a market leader in corrugated packaging in Turkey. The company runs two recycled containerboard mills and six corrugated box plants.
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