According to Sistema, the Group is the largest manufacturer of sack paper and paper sacks in Russia and the second largest producer of paper sacks in Europe. It is also one of the largest manufacturers and exporters of timber products and ply wood in Russia. In 2013, the Group's estimated revenue and EBITDA amounted to approximately RUB 20.9 billion and RUB 2.4 billion respectively, according to the management accounts. Export accounted for 54% of the Group's total revenue.
Mikhail Shamolin, President and CEO of Sistema, commented: "The companies we have acquired are leaders in their industries and offer exciting prospects. They generate stable cash flow and have substantial turnaround potential, which Sistema is well placed to realise. We intend to maximise shareholder value by restructuring the businesses, introducing a number of efficiency measures, modernising production and expanding into new export markets."
Further details on this transaction can be found in the presentation