The Cham Paper Group sells its Italian paper mills located in Carmignano and Condino to Delfort Group and thereby backs out of the base paper production. Based in Traun, Austria, Delfort Group produces and distributes speciality papers and has around 1,750 employees at five factories in Austria, Hungary, the Czech Republic and Finland. Similarly to the Cham Paper Group, the family-run company has a widely recognised market position in a range of areas within the speciality papers market.
During the last few months, the Board of Directors of the Cham Paper Group has been evaluating strategic options which, after the comprehensive restructuring of the last 18 months, bring back sustainable growth to the speciality paper business. To integrate the two complementary Italian mills into the Delfort Group was found to be the promising option.
The acquisition is subject to approval by the responsible regulatory authorities. The closing of the transaction is expected to take place in the fourth quarter of this year. The transaction value (enterprise value) amounts to approx. EUR 86 million and includes financial liabilities of approx. EUR 45 million, which are taken over by the acquirer. The net purchase price will be paid in cash. As agreed by both parties, further details of the share purchase agreement will not be disclosed.
The Cham Paper Group activities in Switzerland are not affected by the divestment of the Italian mills. Starting from this year, the industrial activities of the Group in Switzerland have been focusing on the finishing (coating technology) of external base paper as well as the development, commercial launch and distribution of high-grade product groups and services. Moreover, the Group is planning to transform its “Papieri” site in Cham into a new residential and working area.