HELSINKI, Sept 15 (Reuters) - Finnish paperboard companyPowerflute Oyj recommended cash offer from privateequity firm Madison Dearborn Partners LLC for 268 million pounds($354 million), it said on Thursday.
Powerflute, founded by Dermot Smurfit from the family behindIreland's packaging group Smurfit Kappa, last year hadsales of 357 million euros ($401 million) and core earningsbefore interest, taxes, depreciation and amortization of 55million euros.
Smurfit and other biggest owners are backing the offer.
The 90 pence per share offer had a premium of around 22percent to the stock's closing price on Wednesday. Shares inPowerflute, listed in London's AIM market for small companies,were up 20.4 percent at 88.61 pence by 0829.($1 = 0.7573 pounds)($1 = 0.8905 euros) (Reporting by Jussi Rosendahl; editing by Susan Thomas)
