Mondi plc has agreed to acquire the Duino mill near Trieste in Italy from the Burgo Group for a total consideration of Euro 40 million. The mill currently operates one paper machine producing lightweight coated mechanical paper. Mondi plans to convert this paper machine to produce around 420,000 tonnes per annum of high-quality recycled containerboard for an estimated investment of around Euro 200 million.
Close to two important export harbours, Duino is ideally located to supply the Group’s Corrugated Solutions plants in Central Europe and Turkey as well as to serve the growing local Italian market. The containerboard machine will strengthen backward integration in Corrugated Packaging and provide us with security of supply to better serve our customers.
The acquisition is subject to competition clearance and other closing conditions and completion is expected in the second half of the year.
Mondi is a global leader in packaging and paper.
