Mondi has signed an agreement to acquire Beepack from a private investor for US$46 million as part of plans to expand its packaging business.
Mondi, which is also listed in London, expects to complete the transaction in the fourth quarter, with CEO David Hathorn saying that the Russian business will support the development of Mondi’s Corrugated Packaging operations in central and Eastern Europe.
Beepack generated revenue of US$45 million in the year to 31 December 2015, with adjusted earnings before interest, tax, depreciation and amortisation of 462 million roubles.
The Russian company’s Lebedyan plant about 400km south of Moscow makes a range of corrugated packaging trays and boxes for food and agricultural products, including beverages, fruit and vegetables, poultry and dairy produce.
Mondi, which has operations in more than 30 countries, makes and sells consumer packaging and paper products as part of its Europe and International division’s Packaging Paper business.