Mondi Group has signed an agreement to acquire all of the outstanding share capital in Uralplastic, a Russian manufacturer of consumer flexible packaging, from Joint Stock Company Rusnano and a private investor.
Uralplastic operates one plant near Ekaterinburg, in the Ural region of Russia, and delivers flexible packaging products for the food and beverage industry to consumers both at home and abroad. It generated revenues of RUB 1,988 million (€29.2 million) and adjusted pre-tax earnings of RUB 318 million (€4.7 million) last year.
Commenting on the acquisition, David Hathorn, chief executive of Mondi Group, said: “The acquisition of Uralplastic supports the development of our consumer packaging business and strengthens our presence in the Russian consumer packaging market, complementing our existing plant in Pereslavl, near Moscow, and allowing us to improve our offering to customers in this growing market.”
The transaction is expected to complete in July 2016.
A deal to ‘better serve our customers’
The international packaging supplier has also signed an agreement to acquire 90% of the outstanding share capital in Kalenobel – a Turkish company focused on the manufacture of flexible consumer packaging for ice cream and other applications, as well as aseptic cartons – from private equity group Argus Capital.
Kalenobel is headquartered in Istanbul and operates two manufacturing sites northwest of the city. It serves both international FMCG companies as well as regional food and beverage producers, exporting approximately half of its output to markets mainly in Western Europe, the Middle East and North Africa.
David Hathorn continued: “The acquisition of Kalenobel supports the growth of our consumer packaging business, broadening our product portfolio and geographic reach to better serve our customers in high-growth markets.”
The transaction remains subject to competition clearance and other customary closing conditions, and is expected to complete during the second half of 2016.
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