Mondi Group has signed an agreement for the acquisition of 95% of the outstanding share capital in KSP, Co. and related interests (“KSP”).
Established in 1973, KSP is a flexible packaging company specialised in the production of high-quality spouted and retort stand-up pouches for the food, pet food and beverage industries with its main manufacturing site near Seoul, South Korea and an interest in a plant near Bangkok, Thailand. KSP exports approximately two thirds of its production, mainly to the US, Europe and other Asian countries. For the twelve months ended 31 December 2014, KSP generated revenues of approximately USD50 million.
KSP offers an excellent product fit with Mondi’s stand-up pouch operations in Korneuburg, Austria and Jackson, US and will enable Mondi to better serve its customers in the US and Asia.
Commenting on the acquisition, David Hathorn, Chief Executive of Mondi Group, said: “This acquisition further supports Mondi’s strategy to develop in high value-added, high-growth markets in our Consumer Packaging business.”
The transaction remains subject to competition clearance and other customary closing conditions and is expected to complete during the fourth quarter of 2015.