LONDON (dpa-AFX) - Mondi plc (MNDI.L), a packaging and paper group, Wednesday said it has agreed to acquire the Western European packaging assets of Schumacher Packaging for an enterprise value of 634 million euros.
The acquisition consists of seven corrugated converting plants, two solid board mills and four solid board converting plants in Germany, Benelux and UK. These operations complement Mondi's existing network of corrugated plants across Central and Eastern Europe, and will add more than 1 billion square meters of capacity when fully operational.
According to the company, the addition of these plants helps Mondi to introduce its unique range of eCommerce packaging products to a wider market, especially Germany being the largest packaging market.
In 2023, Schumacher Packaging's Western European Packaging Assets delivered an adjusted earnings before interest, taxes, depreciation, and amortization or adjusted EBITDA of 66 million euros.
The acquisition, scheduled to close in the first half of 2025, is expected to add to Mondi's earnings in the first full financial year after conclusion of the deal.
'Today's announcement is in line with Mondi's strategy to expand its Corrugated Packaging business in Europe and adjacent markets; to invest in cost advantaged assets; to further integrate upstream and downstream operations to ensure security of supply for customers and optimised operations, and to continue to partner with customers to deliver innovative solutions,' the company said in a statement.
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