11.01.18
Smurfit Kappa Group plc announced that it has agreed to acquire Fabrika Hartije d.o.o. Beograd (FHB) paper mill and Avala Ada d.o.o. Beograd (Avala Ada) corrugated plant, in Belgrade, for €133 million) from Kappa Star Group.
The acquisition will expand SKG’s geographic footprint and provide for full containerboard integration in the group’s packaging operations in Southeast Europe. FHB and Avala Ada have a leading market position in Serbia and solid positions in adjacent countries.
The containerboard mill holds one recently upgraded recycled containerboard machine with a current capacity of 120,000 tons. The corrugated plant has a current production of approximately 110 million square meters and produces both corrugated and laminated packaging.
The transaction reflects a pre-synergy multiple of 7.6 times the expected full year 2018 EBITDA and the consideration will be funded from the group’s existing resources. It is expected that the Transaction will complete by year end subject to customary completion conditions.
“We are pleased to announce our agreement to acquire FHB and Avala Ada, which will be a cornerstone to the expansion of our business in Southeast Europe,” Tony Smurfit, Smurfit Kappa Group CEO, said.
The acquisition will expand SKG’s geographic footprint and provide for full containerboard integration in the group’s packaging operations in Southeast Europe. FHB and Avala Ada have a leading market position in Serbia and solid positions in adjacent countries.
The containerboard mill holds one recently upgraded recycled containerboard machine with a current capacity of 120,000 tons. The corrugated plant has a current production of approximately 110 million square meters and produces both corrugated and laminated packaging.
The transaction reflects a pre-synergy multiple of 7.6 times the expected full year 2018 EBITDA and the consideration will be funded from the group’s existing resources. It is expected that the Transaction will complete by year end subject to customary completion conditions.
“We are pleased to announce our agreement to acquire FHB and Avala Ada, which will be a cornerstone to the expansion of our business in Southeast Europe,” Tony Smurfit, Smurfit Kappa Group CEO, said.