Mondi expands Western European operations with US$694M acquisition of Schumacher Packaging

GERMANY – Mondi, a global leader in sustainable packaging and paper solutions, has finalized a €634 million (US$694.08 million) acquisition of several Schumacher Packaging facilities in Germany, the Benelux region, and the UK.

This strategic move involves seven corrugated converting plants, two solid board mills, and four solid board converting plants, expanding Mondi’s footprint across Western Europe.

Schumacher Packaging Group, one of Europe’s largest family-owned packaging producers, is renowned for its innovative, customized, corrugated, solid board packaging.

Additionally, the group has pioneered high-performance digital printing for corrugated materials, making this acquisition a pivotal advancement for Mondi’s operations.

Among the newly acquired facilities are two state-of-the-art mega-box plants in Germany, Ebersdorf and Greven.

These plants boast cutting-edge production speeds and operational efficiency, positioning Mondi to significantly enhance its e-commerce and FMCG (Fast-Moving Consumer Goods) packaging services.

This acquisition comes shortly after Schumacher Packaging sold its Polish subsidiary to Saica Group in a separate €327 million (US$357.99m) deal.

Despite these changes, Björn and Hendrik Schumacher will continue to play key roles in the business. Björn Schumacher will serve as a strategic advisor, while Hendrik will assume the role of Chief Operating Officer for the solid board division.

Their continued involvement ensures the combined entity’s seamless transition and successful growth.

Strategic expansion in Western Europe

Mondi’s acquisition aims to strengthen its corrugated packaging capacity, particularly in Germany, Europe’s largest packaging market.

In 2023, Schumacher Packaging’s Western European assets delivered an adjusted EBITDA of €66 million (US$72.25m).

Mondi expects this figure to grow as it ramps capacity at the Greven facility, benefiting from a recent investment program and realizing an estimated €22 million (US$24.08m) in cost synergies over the next three years.

Mondi Group CEO Andrew King highlighted the significance of the acquisition, stating, “Our focus is on investing to meet the growing demand for sustainable packaging while delivering value to stakeholders.

“This acquisition increases our corrugated converting capacity, extends our reach in Western Europe, and broadens our fiber-based product offerings.”

Björn Schumacher also emphasized the strategic importance of the acquisition, adding, “The fact that we have found two renowned partners for both our Polish subsidiary and Western European operations in such a short time demonstrates the strength and appeal of Schumacher Packaging.”

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