Altor acquires Papyrus to drive growth

Today Altor has signed a binding agreement with Stora Enso to acquire Papyrus. The new owners aim at growing the company during the coming years and develop a European market leader in paper and packaging distribution

Altor today announced the acquisition of Papyrus, Stora Enso’s wholly-owned paper and packaging merchant. Supported by Altor, Papyrus will be able to pursue additional acquisitions within both existing and new markets as well as within new product areas. The company, with head office in Mölndal, outside Göteborg, Sweden, will continue to be headed by the existing management team.

“After successfully building up Papyrus in the last few years, we believe it is critical that this channel should continue to develop independently– and in fact drive the consolidation of merchanting in Europe. We also believe that Altor will be good owner for Papyrus able to take this consolidation forward”, said Jouko Karvinen, CEO of Stora Enso.

Altor has prior experience of driving organic and acquisitive growth within the wholesale and retail sector from its investments in Euro Cater, Wrist, Dustin and Byggmax.

“We are impressed how well Papyrus has developed over recent years and it is a very strong platform for future growth and development. Altor’s aim is to continue to develop Papyrus into the leading and most customer-oriented merchant in Europe. This will benefit Papyrus’s customers, employees and strategic suppliers”, said Claes Ekström, Partner at Altor Equity Partners AB.

As part of the transaction, Papyrus and Stora Enso have signed a supply agreement on arms length basis, which will ensure that Stora Enso continues to be one of the strategic suppliers to Papyrus.

"I am confident that Papyrus, together with the new owners, can continue the successful strategy towards becoming Europe’s a leading paper- and packaging merchant. The management team is looking forward to work with Altor and together with the whole organisation of Papyrus as we seek to expand through both organic and acquisitive growth”, said Mats Nordlander, President of Papyrus.

The transaction will be finalized following customary statutory approvals.

Financing and advisors
Debt financing for the transaction has been arranged by Handelsbanken in Mölndal. Altor was advised by Pöyry Capital, Ernst & Young, Mannheimer Swartling, Aon, Golder and DTZ.

For further information, please contact:
Claes Ekström, Partner, Altor Equity Partners AB, Tel: +46 8 678 91 00
Bengt Maunsbach, Director, Altor Equity Partners AB, Tel: +46 8 678 91 00