Arjowiggins has announced the planned sale of Arjowiggins Graphic and Arjowiggins Creative Papers to Fineska BV, the parent company of Eska Group, the renowned Dutch-based graphic cardboard business controlled by Andlinger & Company, a private investment group which also owns Crown Van Gelder (CVG), a Dutch specialty papers manufacturer.
Information and consultation procedures have been initiated with the relevant work councils and the planned sale will be submitted for approval by the national competition authorities in all countries where it is required. The transaction is expected to complete by the end of October 2018.
The gross amount of the transaction should be Euro 125 million. Given the companies’ debts and other liabilities, net proceeds from the sale should be in the region of Euro 20 million (to be adjusted at completion of the transaction in line with balance sheet items).
Following a competitive bidding process that was part of Sequana’s strategy of weighing up its options and playing its part in the necessary consolidation of the paper industry, Sequana’s Board of Directors has chosen Fineska’s offer. This operation, which is satisfactory for Sequana, would also safeguard the future development of Arjowiggins Graphic and Arjowiggins Creative Papers within a private investment group that has been supporting CVG and Eska – two renowned players in the specialty papers and graphic cardboard sectors – for a number of years.
This transaction is a major milestone for Sequana that would mark its exit from all paper manufacturing activities with the exception of Arjobex. Since 2008, Sequana has been refocusing on its paper distribution business where its subsidiary Antalis boasts leading positions in Papers, Industrial Packaging and Visual Communication in Europe.
