UPM Raflatac completes the acquisition of selected Labelcote assets in South Africa
UPM Raflatac has completed its acquisition of selected assets of the South African label stock distributor Labelcote, part of TIGER Packaging. The parties have agreed not to disclose the purchase price. The closing of the acquisition has been subject to South African regulatory approvals which were obtained on July 12, 2016.
UPM Raflatac will continue to operate the formerly Labelcote-owned slitting and distribution terminal in Johannesburg. The terminal will continue to operate with outsourced labour.
TIGER Packaging, known by its trading name Labelcote is a well-established South African business specialising in the slitting and distribution of pressure sensitive label stock and tag materials. Labelcote has been trading in the South African market for over 20 years, originally as a partner for UPM Raflatac. Labelcote sells materials throughout South Africa with physical presence in the Durban, Johannesburg and Cape Town markets.
"UPM Raflatac has in the recent years successfully grown with our label stock customers in Sub-Saharan Africa and South Africa. With this transaction, we further improve our service capability and can offer the full range of UPM Raflatac standard and specials products to even more customers in South Africa," says Lee Unsworth, Area Sales Director, UPM Raflatac.
In addition to the new Johannesburg terminal, UPM Raflatac currently has sales and terminal operations in Pinetown (Durban area) and Cape Town in South Africa.
