SKG signs agreement with Serbia's Kappa Star Group for the acquisition of the recycled containerboard manufacturer Fabrika Hartije Beograd and the corrugated packaging company Avala Ada.
Paper based packaging giant Smurfit Kappa Group (SKG) will acquire Serbia's recycled containerboard producer Fabrika Hartije Beograd (FHB) and the Avala Ada corrugated plant to grow its business in Southeast Europe. The total consideration for FHB and Avala Ada stands at €133m. SKG expects the transaction with Kappa Star Group to be closed by the end of the year.
According to SKG, the acquisition of the 120,000 tpy the FHB paper mill provide for the full containerboard integration of the group's packaging business in the region. At the same time, the acquisition of Avala Ada corrugated and laminated packaging business is "providing a strong platform for organic growth with SKG's Pan European and Multi National customers in the region," SKG announced.
This is an excerpt of our reporting on Smurfit Kappa Group and Kappa Star Group. The full article on SKG's growth in containerboard and corrugated packaging markets in Serbia will be published in EUWID Pulp and Paper issue 45/2018 and is exclusively available to our subscribers.