23 June 2021. The announcement on the sale of Eerbeek and Baiersbronn GC board mills comes less than two weeks after MM received the green light to acquire Kotkamills.
Austria's board and carton manufacturer Mayr-Melnhof Group will divest two of its folding boxboard mills. MM and a subsidiary of funds managed by Oaktree Capital Management have "reached a firm intention on the sale of MM's virgin fiber cartonboard mills located in Eerbeek, Netherlands, and Baiersbronn, Germany, to Oaktree for an equity value of €104.6m and net debt subject to final closing accounts," the group announced today.
The two cartonboard mills in Eerbeek and Baiersbronn have a combined annual capacity of 245,000 tpy of folding boxboard and employ approximately 400 people. Sales reached €195m in 2020.
The divestment was in line with and forms part of MM's strategy to focus on new acquisitions and growth capex, MM explained.
The transaction is expected to be finalised in the third quarter 2021.
Last week, the European Commission (EC) has appproved under the EU Merger Regulation, the acquisition of Finnish virgin-board manufacturer Kotkamills by Mayr-Melnhof. Besides Kotkamills, MM also plans to acquire International Paper Kwidzyn in Poland and further grow its virgin-fibre board business.