Sappi Limited had signed an agreement to acquire the speciality paper business of Cham Paper Group Holding AG (CPG) for CHF146.5 million ($149 million). The transaction is conditional on the approval from certain competition authorities, as the company says in the press release received by Lesprom Network.
The transaction includes the acquisition of CPG’s Carmignano and Condino Mills in Italy, its digital imaging business located in Cham, Switzerland as well as all brands and know-how. It will be funded through internal cash resources.
Steve Binnie, CEO of Sappi Limited, said: “This acquisition further strengthens Sappi’s speciality paper business both in Europe and globally by combining Cham’s strong brands and assets with Sappi’s global reach. This transaction will increase profitability and unlock the significant growth and innovation potential inherent within the speciality paper market. I am very pleased that we have taken another signification step towards realizing our Vision2020 goal.”
The speciality paper business of CPG will continue to operate separately and independently from Sappi until clearances from the authorities are obtained.
Sappi Limited is a leading global producer of dissolving wood pulp, speciality and packaging papers, graphic (printing and writing) paper and biomaterials.
The Cham Paper Group Holding AG is a leading manufacturer of coated speciality papers.
