European tissue paper maker Sofidel has acquired a paper mill from ST Paper, a Minnesota-based company, for an undisclosed sum.
The facility has a production capacity of 65 thousand metric tonnes per year and employs 80 people, the company noted.
The plant is equipped with state-of-the-art technology and boasts an Andritz machine, which has been operational since last January.
The investment by Sofidel, known for its Regina brand in Italy and Europe, will help meet the increasing demand for its products in the US.
'An Important Acquisition'
CEO of Sofidel, Luigi Lazzareschi said, “This is an important acquisition, allowing us to immediately meet the growing demand, which saw a significant upturn in 2023.
“What we are acquiring is a technologically advanced plant that further improves our geographic coverage and creates the conditions to strengthen and sustain growth in what is our main market.”
Expansion Project
The announcement comes a few months after Sofidel decided to expand its integrated plant in Circleville, Ohio.
The project, which is underway, will see the construction of a new building to house a new machine with a production capacity of 70,000 metric tonnes per year.
Operations are scheduled to commence in the third quarter of 2025, the company added.
By that time, with 200 thousand metric tonnes of annual capacity, Circleville will become Sofidel’s largest production site worldwide, the company added.
In September of last year, the company finalised a medium- to long-term loan agreement with Crédit Agricole Italia to support its ESG goals, with the terms of the loan linked to the achievement of environmental and social performance targets.
