Reno De Medici S.p.A. (“RDM”) announces that its wholly owned subsidiary, RDM Blendecques s.a.s., completed the purchase from Cascades Canada ULC, of the entire share capital of Cascades s.a.s., company headquartered in La Rochette, France, which operates in the virgin-fiber cartonboard business, boasting a total annual production capacity of 165,000 tons.
The consideration of the acquisition is Euro 18 million, except for future adjustments.
Given the involvement of a Related Party (Cascades controls 57.56% of RDM S.p.A. share capital), the acquisition was approved by the Board of Directors of Reno De Medici, with the favourable opinion from the Related Party Transaction Committee, whose advisor was Unicredit Corporate Finance Advisory.
Cascades s.a.s. consolidation in the RDM Group will be effective from June 30, 2016.
The acquisition provides Reno De Medici with the opportunity of playing a direct role in a complementary business – the virgin-fiber cartonboard – that presents high-value users in the food and pharmaceutical industry. Moreover, Cascades s.a.s. is the sole virgin-fiber cartonboard producer in Sourthern Europe.
The Reno De Medici Group is the leading Italian and second-ranked European producer of cartonboard based on recycled material.