Papyrus divests its envelope manufacturing unit in Ettlingen, Germany to the Mayer-Kuvert-network
Papyrus has signed an agreement to sell its envelope production unit in Germany to the Mayer-Kuvert-network. By divesting Papyrus Kuvert to a leading manufacturer of envelopes, Papyrus can focus on its core business and reinforce the company’s position as the No. 1 paper merchant in Continental Europe.
With this step, Papyrus pursues its strategic business decision to separate itself from envelope manufacturing and the divestment of Papyrus Kuvert to the Mayer-Kuvert-network allows Papyrus to fully focus on its core business. The agreement also represents a new partnership between Papyrus and Mayer-Kuvert-network that will increase customer value and enhance the position of both parties in a demanding market situation.
Papyrus Kuvert, with a net sale of approximately EUR 19 million, produced more than 1 billion envelopes last year. The sale of Papyrus Kuvert to Mayer-Kuvert-network is expected to be finalised on April 2, 2013.
Papyrus aims for a lean, customer-oriented business model
As a response to the declining paper demand and the structural overcapacity in the paper industry, Papyrus is continuously re-evaluating its working methods and building new business models to increase cost competitiveness and better meet the expectations from customers and other business partners. The divestment of the envelope manufacturing unit in Ettlingen is one of many initiatives taken by Papyrus in recent years to adapt to the challenging business environment within the paper industry. During 2008-2012, for example, Papyrus has significantly reduced its total workforce and invested more than EUR 50 million in restructuring the company. Supported by a group-wide modernisation programme, the result are substantial productivity gains of approximately. EUR 20 million annually, more flexible structures and a solid financial position. Papyrus aim is a streamlined, customer-oriented business model that offers a unique combination of quality products and value-adding services to customers across Europe.
For further information, please contact:
Stefan Sikander, Corporate Communication Director, tel. +46 1051 72684
Papyrus
Papyrus, with net sales of EUR 1,726 million in 2012, is a leading European merchant in paper, facility supplies and industrial packaging. The company is currently present in 22 countries across Europe and employs some 2,270 people. Papyrus supports more than 75,000 customers by providing products and services that enhance efficiency and contribute to a more successful business. With a long tradition and record of excellence, Papyrus is committed to staying at the forefront by offering quality products, high service levels and reliable logistics solutions. The Papyrus head office is located in Göteborg, Sweden.
www.papyrus.com
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