31 August 2012
South African paper maker Mondi has secured European Union regulatory approval for its US$782-million purchase of German packaging company Nordenia from majority shareholder Oaktree Capital.
News agency Reuters reported on Thursday that the European Commission had said the deal would not hurt competition.
“The acquisition of Nordenia offers Mondi Group 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,” Mondi Group CEO David Hathorn said last month, when the deal was first announced.
Following the completion of the acquisition, Mondi said it would reorganise its Europe and international division into four businesses, namely uncoated fine paper, packaging papers, fibre packaging, and consumer packaging.
Nordenia is an international supplier of consumer packaging solutions and hygiene components with 12 fully invested operating facilities in seven countries across Europe, North America and Asia. The company is also building a new greenfield plant in China, where operations are expected to begin in early 2014.
Mondi is an international paper and packaging group with production operations across 28 countries, its key operations being located in central Europe, Russia and South Africa.