Mondi will expand its packaging production capacity. The paper group has reached an agreement with Burgo to acquire one of the Italian's 11 plants, the Duino plant near Trieste. The transaction is worth ?40 million.
The Duino mill operates a paper machine producing light-weight coated mechanical paper. With an investment of 200 million Euros, its future owner, listed on the London and Johannesburg stock exchanges, plans to convert this machine to produce 420,000 tons per year of high quality recycled corrugated board. Mondi will then operate five corrugated board production plants worldwide.
"Close to two major export ports, Duino is ideally located to supply the Group's Corrugated Solutions plants in Central Europe and Turkey, as well as to serve the growing local Italian market." appreciates Mondi. "The corrugated machine will strengthen backward integration in corrugated packaging and provide us with the security of supply to better serve our customers." says the group headed by Andrew King.
In 2021, Mondi achieved sales of ?7.0 billion and underlying earnings before interest, taxes, depreciation and amortization of ?1.2 billion in the market for uncoated fine paper, functional papers and films, packaging (corrugated and flexible board). The group employs 21,000 people.
