Packaging group Smurfit Kappa has signed an agreement to acquire PaperBox, a packaging plant located in Saquarema, 70 kilometres east of Rio de Janeiro, Brazil.
The transaction is subject to the approval of regulatory bodies and is expected to close at the end of October, the company noted.
Brazil Operations
Brazil is one of the largest corrugated cardboard markets in Latin America, with 7.4 billion square metres produced annually, and the Southeast region, where PaperBox is located, equates to 46% of this volume.
The acquisition marks an expansion of Smurfit Kappa's operations in Brazil, with facilities in three other Brazilian states, Minas Gerais, Rio Grande do Sul and Ceará.
'Innovative And Sustainable Packaging'
Laurent Sellier, CEO of Smurfit Kappa in the Americas, commented, "We are very proud to expand our footprint in Brazil to meet the growing demand for innovative and sustainable packaging.
"This acquisition will broaden and strengthen our presence in the country, improve our production capabilities and enable us to continue to create new opportunities and form new partnerships with customers."
Manuel Alcalá, CEO of the group's operations in Brazil, added, "Smurfit Kappa believes in Brazil and in the opportunities to deliver growth by continuing to add value to our customers' business. PaperBox has a distinguished history in the region and a special commitment to all stakeholders. This is a legacy that Smurfit Kappa will build upon."
© 2022 European Supermarket Magazine – your source for the latest packaging and design news. Article by Conor Farrelly. Click subscribe to sign up to ESM: European Supermarket Magazine.
