Ahlstrom will demerge its Label and Processing business in Europe and Brazil to focus on its value-added areas. The transaction offers growth opportunities, says Munksjö.
Munksjö plans to combine with Ahlstrom's Label and Processing business area to form a world leading specialty paper manufacturer. The new company with a total €1.3bn in annual net sales will operate under the name of Munksjö Corporation and will be listed on NASDAQ QMX Helsinki during the first quarter next year, the companies involved announced. A future listing on NASDAQ QMX in Stockholm is also considered, Munksjö said.
Munksjö Corporation will employ about 3,300 people at 16 production site sites in Europe, Brazil and China, it is learned. Ahlstrom and Munksjö expect to reach annual synergies worth about €25-30m once the planned business merger is fully implemented.
The business combination will be finalised in two stages and is expected to be fully completed until the end of the second quarter 2013. The first phase of the deal, which will see the establishment of the new company Munksjö Corporation and its stock listing in Helsinki, is scheduled for completion in the first quarter next year.
An agreement between Ahlstrom and EQT, the major shareholder in Munksjö has already been signed, the companies announced. Shareholders of Munskjö have already approved the planned combination, but the transaction still requires approval by Ahlstrom's shareholders. The Extraordinary Shareholder' Meeting of Ahsltrom is announced for November 2012.
EUWID Pulp and Paper keeps busy professionals up-to-date on the latest news from European pulp and paper markets.
⇒ Test EUWID Pulp and Paper free of charge and without any obligation by clicking here.