Reparenco operates a machine paper mill in the Netherlands with a capacity of 675,000 tonnes, and a 750,000 tonne recovered fibre operation. It employs 315 people and generated EBITDA of €41 million in the 12 months to April 2018.
Smurfit Kappa has said Reparenco is a “strong strategic fit” with its existing European businesses. The acquisition aims to deliver “significant synergies” in a variety of the company’s areas such as an increased integration of container board and recycling operations.
Smurfit Kappa has recently purchased Russian corrugated packaging company Soyuz and acquiring Reparenco, ensures the next step in expanding its European operations.
Smurfit Kappa CEO Tony Smurfit said: “We are pleased to announce our agreement to acquire Reparenco, successfully concluding a process which began on 1 February this year. The acquisition of Reparenco is complementary with our existing business, strengthens our integrated business model and accelerates a central element of our medium-term plan.
“We welcome all the Reparenco employees to Smurfit Kappa. We believe there is a strong cultural fit between our businesses and that, together, we will generate value in the short, medium and long term for all our stakeholders.”
The completion of the transaction is expected within four to six weeks, subject to customary completion conditions.
Smurfit Kappa has 46,000 employees at approximately 370 production sites in 35 countries. It had a revenue of €8.6 billion in 2017.
Source: Smurfit Kappa