TUNISIA – Sotipapier, the Tunisian supplier of corrugated base paper and kraft sack paper, has acquired a 70% stake in Eco-Gad, a recycling company based in Sidi Hassine, Tunisia.
This move makes Sotipapier the majority shareholder of Eco-Gad.
After 16 years in business, Eco-Gad is opening to new prospects with Sotipapier’s entry into its capital.
Eco-Gad specializes in collecting and processing paper, cardboard, and plastic waste and operates six collection and processing centers across North Africa, including Bizerte, Tunis, Sousse, and Sfax.
These centers provide B2B solutions for the commercial, industrial, agri-food, catering, hotel, and administrative sectors.
Eco-Gad is also known for its innovative subsidiary, Colibris, which has developed an application to facilitate the collection of recyclable waste and promote responsible waste management within companies.
“We are enthusiastic about sharing the know-how we have acquired over the last 16 years. With the help of our new partner, we will continue our expansion in Tunisia by opening new sorting centers and considering international opportunities,” says Eco-Gad.
The acquisition aims to optimize Eco-Gad’s facilities and enhance its recycling activities. It is also expected to consolidate the supply chain for recycled cardboard paper in Tunisia and strengthen Sotipapier’s offering of greener products.
“This acquisition aligns perfectly with our strategic vision of becoming a pillar of environmental sustainability in the North African sub-region,” says Sotipapier.
“By integrating Eco-Gad’s expertise, we will bolster our recycling infrastructure and reduce our dependence on fluctuating paper and board prices, thereby enhancing our economic resilience.”
In 2022, Sango Capital acquired a controlling stake in Sotipapier, the leading paper packaging manufacturer in Tunisia, and plans to proceed with a tender offer in accordance with regulations.
Sango Capital is an investment management firm that delivers superior risk-adjusted returns from fund and direct investments in Africa. The firm acquired the stake following the exit of SPE Capital Partners from Sotipapier.
SPE Capital’s exit comes after having a transformative impact on the company while creating value for its investors, putting in place a high-caliber management to drive growth and enhance operations, improving governance and optimizing capital structure through financial engineering.
For all the latest packaging and printing industry news from Africa and the World, subscribe to our NEWSLETTER, follow us on LinkedIn and subscribe to our YouTube channel.
