The industrial bags and kraft paper businesses of Graphic Packaging International are now part of the Mondi Group. The $105 million deal comprises an integrated kraft paper mill in Pine Bluff Arkansas and nine bags plants across the US, with sales of approximately $437 million in the year ended 31 March 2014.
"The combination of these plants with Mondi's existing network will create a leading bags player in North America and expand our growing global footprint in this market," says Mondi CEO David Hathorn. "We look forward to offering innovative solutions to our enlarged customer base."
Allen Ennis, previously senior vice president for the Flexible Division of Graphic Packaging, will lead the combined business as president Industrial Bags, Mondi North America. In addition, Thomas Ott, COO Mondi Industrial Bags, will move to the US to oversee the integration. The headquarters for Mondi Group in North America will be in Atlanta, Georgia.
Industrial bags and kraft paper are a core part of Mondi's business. It already includes 36 industrial bags plants in Europe, the Middle East, North Africa, South-East Asia and North America, including four in Mexico and the US, and five kraft paper mills in Europe producing more than 1 million tones/year.
www.mondigroup.com
