Nampak has entered into a definitive agreement to sell its subsidiary Nampak Cartons Nigeria – a producer of folding carton products for the tobacco, food and consumer goods segments – to AR Packaging Group for an undisclosed sum.
Nampak Cartons, which was established in 2004, employs about 200 people and operates a production facility in Ibadan, in Oyo state.
“The disposal of the Cartons business in Nigeria is in line with Nampak’s ongoing strategy to sharpen our focus on strategic substrates.
“We continue to rationalise the portfolio to improve returns on capital and reinforce our strategic intent. Proceeds from this disposal will further strengthen the company’s financial position,” Nampak CEO André de Ruyter said in statement issued on Wednesday.
The disposal is subject to customary closing conditions, including local regulatory approvals.