Jul 11, 2012
Mondi boosts consumer packaging business with Nordenia aquisitionBack
Components|Mondi|Nordenia International|Oaktree Capital Management|Packaging|Asia|Europe|North America|China|Building|Consumer Packaging Solutions|Packaging|Paper And Packaging|Solutions|David Hathorn
© Reuse this
The LSE- and JSE-listed group would buy the shares from funds managed by Oaktree Capital Management and certain other minority shareholders for €240-million in cash. It would also assume €398-million in debt and debt-like liabilities.
Nordenia has operating facilities in seven countries across Europe, North America and Asia. It is also building a greenfield plant in China, which will start operating in early 2014.
"The acquisition of Nordenia offers Mondi a unique opportunity to create a leading consumer packaging business, build on long-term customer relationships across both businesses and establish a platform to expand further in high-growth emerging markets,” commented CEO David Hathorn.
Following the completion of the acquisition, Mondi would reorganize its Europe & International paper division into four businesses, namely uncoated fine paper, packaging papers, fibre packaging and consumer packaging. Nordenia would form part of the consumer packaging business.
For the year ended December 31, Nordenia generated €881-million in revenue and earnings before interest, taxes, depreciation and amortisation of €99-million and net earnings of €14-million.
Consumer packaging solutions contribute about 60% of Nordenia’s revenues with hygiene components making up the balance.
Mondi would fund the cash consideration from a new €250-million two-year committed bank debt facility.
Edited by: Mariaan Webb© Reuse this Comment Guidelines (150 word limit)
Updated 1 hour 45 minutes ago The Department of Economic Development, together with Spanish solar company Abengoa and the Industrial Development Corporation on Monday launched a 100 MW concentrated solar power (CSP) park, about 60 km outside Pofadder, in the Northern Cape. Speaking to journalists...
Updated 1 hour 54 minutes ago South Africa could face another delay in its already years-delayed digital migration project if government adopted the much-disputed conditional access (CA) for the set-top boxes (STBs) required to intercept digital broadcasting frequencies. Emerging black-owned...
Updated 1 hour 54 minutes ago JSE-listed real estate investment trust Dipula Income Fund has entered into agreements to acquire the Umzimkhulu Shopping Centre, in KwaZulu-Natal, as well as the Corporate Industrial Park, in Polokwane, from two different vendors for R336-million. The industrial...
Recent Research Reports
Construction 2015: A review of South Africa’s construction sector (PDF Report)
Creamer Media’s Construction 2015 Report examines South Africa’s construction industry over the past 12 months. The report provides insight into the business environment; the key participants in the sector; local construction demand; geographic diversification;...
Liquid Fuels 2014 - A review of South Africa's Liquid Fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2014 Report examines these issues, focusing on the business environment, oil and gas exploration, the country’s feedstock supplies, the development of South Africa’s biofuels industry, fuel pricing, competition in the sector, the...
Water 2014: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2014 report considers the aforementioned issues, not only in the South African context, but also in the African and global context, and examines the issues of water and sanitation, water quality and the demand for water, among others.
Defence 2014: A review of South Africa's defence industry (PDF Report)
Creamer Media’s Defence 2014 report examines South Africa’s defence industry, with particular focus on the key participants in the sector, the innovations that have come out of the sector, local and export demand, South Africa’s controversial multibillion-rand...
Road and Rail 2014: A review of South Africa's road and rail infrastructure (PDF report)
Creamer Media’s Road and Rail 2014 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail network, the funding and maintenance of these respective networks, and the push to move road...
Real Economy Year Book 2014 (PDF Report)
This edition drills down into the performance and outlook for a variety of sectors, including automotive, construction, electricity, transport, steel, water, coal, gold, iron-ore and platinum.
This Week's Magazine
Subscribe to Engineering News and Mining Weekly for two years, but only pay for the first year. The weekly editions of Engineering News and Mining Weekly will be posted to your preferred postal address and also gain access to:
National flag carrier South African Airways (SAA) is in an advanced stage of renegotiating its deal with European airliner manufacturer Airbus to acquire A320 single-aisle (or narrow body) aircraft. The aim is to replace ten of the aircraft still on order with five...
Worldwide, the main thrust in the ports industry over the past decade or more has been to increase efficiency. Traditionally, ports have been run by engineers and mariners and, in the past, increasing a port’s capacity was achieved by expanding the harbour. “That has...
What do you do when an elephant has a toothache? You call Dr Gerhard Steenkamp from the University of Pretoria’s (UP’s) faculty of veterinary science, Onderstepoort, one of only two elephant ‘dentists’ in the world.
The 2015 Sanlam/Business Partners Entrepreneur of the Year (EOY) competition was launched earlier this month in Johannesburg, with the main focus on creating and inspiring entrepreneurs to create jobs and boost the economy.