(Alliance News) - Mondi PLC said on Monday it had concluded its acquisition of a Canadian pulp mill for USD5 million from West Fraser Timber Co Ltd.
The Weybridge, England-based paper and packaging firm agreed back in July to buy the 250,000 tonnes per annum Hinton pulp mill located in Alberta, Canada.
As part of the deal, Mondi also entered into a long-term partnership with West Fraser to access local, high-quality fibre from a well-established wood basket.
The group had said in July it intended to invest EUR400 million in the expansion of Hinton, primarily for a new 200,000 tonne per annum kraft paper machine, anticipated to be operational from the second half of 2027.
"We are delighted to welcome our new colleagues from Hinton Pulp mill to Mondi and look forward to working together to secure the mill's future and support Mondi's growth in North America with our portfolio of sustainable packaging," Mondo Chief Executive Officer Andrew King said.
Shares in Mondi rose 0.5% to ZAR326.69 on Monday afternoon in Johannesburg. In London, the stock was also down 0.5% at 1,374.50 pence.
By Artwell Dlamini, Alliance News reporter
Comments and questions to newsroom@alliancenews.com
Copyright 2024 Alliance News Ltd. All Rights Reserved.
Mondi (MNDI)