The acquisition will increase Stora Enso's presence in the European packaging sector and give the company access to the corrugated packaging markets in the UK, Germany, the Netherlands, and Belgium
Stora Enso closes acquisition of De Jong Packaging Group. (Credit: Cision/Stora Enso)
Finnish paper firm Stora Enso has closed the acquisition of Dutch corrugated packaging producer De Jong Packaging Group in a deal worth about €1.02bn.
Earlier announced in September last year, the transaction was closed after obtaining necessary regulatory clearances and employee consultation.
Stora Enso said the acquisition will increase its presence in the European packaging sector and give the company access to the corrugated packaging markets in the UK, Germany, the Netherlands, and Belgium.
The deal will increase the corrugated packaging capacity of Stora Enso’s Packaging Solutions division by approximately 1,200 million m2 to more than 2,000 million m2, including De Jong Packaging Group’s ongoing expansion projects.
The full-year 2022 revenues of De Jong Packaging Group are projected to be around €1bn. De Jong Packaging Group’s product line and geographic reach complement and improve Stora Enso’s offering, particularly in the areas of fresh produce, e-commerce, and industrial packaging.
Stora Enso president and CEO Annica Bresky said: “I am pleased to officially welcome De Jong Packaging Group as part of Stora Enso.
“This acquisition advances Stora Enso’s strategic direction by accelerating revenue growth and building market share in renewable packaging in Europe.”
Stora Enso is a provider of sustainable products in packaging, biomaterials, wooden construction and paper, and also owns a large amount of forest.
With around 22,000 employees, the Finland-based pulp and paper company reported EUR 10.2bn as sales value in 2021.
Recently, the firm divested its Nymölla paper production site in Sweden and all associated assets to the US-based uncoated paper producer Sylvamo for €150m.
The Nymölla plant has an annual capacity of 485,000 metric tonnes of woodfree uncoated office papers with Multicopy as the paper brand.