De Jong Packaging Group, the largest independent corrugated manufacturer in the Benelux, announced that Stora Enso has acquired the company. Together De Jong Packaging Group and Stora Enso aim to accelerate revenue growth and build market share in renewable packaging in Europe. Source: Timberbiz
Benelux is an economic union comprising three neighbouring monarchies: Belgium, the Netherlands, and Luxembourg
De Jong Packaging Group’s product portfolio and geographic presence will complement and enhance Stora Enso’s offering, especially in fresh produce, e-commerce and industrial packaging.
The acquisition will significantly strengthen Stora Enso’s European market presence in corrugated packaging and provide an entry into the Netherlands, Belgium, Germany and the UK.
Together, the corrugated packaging capacity of De Jong Packaging Group and Stora Enso’s Packaging Solutions will be more than 2,000 million m2, including De Jong Packaging Group’s ongoing expansion projects which are expected to be finalised by 2025.
The combination will secure a platform for continued sustainable growth in the fragmented European corrugated packaging markets. The enterprise value of the transaction is approximately EUR 1,020 million of which EUR 250 million is IFRS lease assets and liabilities.
“We are proud of what we have achieved over the past 26 years at De Jong Packaging Group. In Stora Enso we have found an owner that shares our growth ambitions. De Jong Packaging Group and Stora Enso complement each other, together we will enhance our customer proposition and will open up many opportunities for our personnel. Therefore, we very much look forward to the next phase of De Jong Packaging Group’s growth,” said Henk de Jong, owner of De Jong Packaging Group.
Annica Bresky, President and CEO at Stora Enso said: “In line with our strategy, we are investing in growing our market share in renewable and circular packaging solutions. De Jong Packaging Group has a solid presence in the corrugated packaging sector and an impressive customer base. Acquiring their operations supports our future strategic direction to advance renewable packaging solutions within Europe.”
The transaction is subject to works council consultation and regulatory approval and is expected to close early 2023.
