Billerud is strengthening its position within the packaging industry by
investing in a minority stake in PACCESS Packaging, a US based company
with numerous operations throughout Asia. This investment is well in
line with Billerud's strategy to be a customer- and solution-driven
company where brand owners are becoming an increasingly important
customer group. This new service platform will enhance Billerud's
presence in Asia, one of the world's largest and fastest growing
Billerud has signed an agreement to do an investment corresponding to
30% in the packaging company PACCESS Packaging, a division of PACCESS
LLC. PACCESS Packaging's core expertise is the design and development of
packaging for production and delivery in Asia. Their customer base of
leading multinational brand owners and retailers have utilized packaging
to enhance brand and product marketing and to optimize product movement
through their supply chain. PACCESS Packaging provides a wide range of
value-added services to design and deliver cost- and time-effective
retail and transport packaging solutions across key industry verticals.
PACCESS Packaging has established operations in the major export
countries in Asia. The company has approximately 60 employees and sales
of approximately MUSD 27.
“This investment marks an additional step for Billerud to become a more
customer- and solution-driven company. We see that packaging
optimisation with regard to function, material, design and
sustainability are becoming increasingly important to brand owners. With
Billerud's expertise with renewable materials and PACCESS Packaging's
established customer base, broad knowledge of packaging development and
deep experience in Asia, we will create a strong platform for future
growth. We will immediately expand our position in Asia, a key growth
market,” says Per Lindberg, CEO and President of Billerud.
“We are excited by the cooperation with Billerud and the opportunity to
bring additional technical expertise within renewable materials to
extend our packaging solutions service offering to Europe. The
association with Billerud will strengthen PACCESS Packaging's
established business model as an independent packaging service provider,
deploying innovative design and materials across our global supply
network. Our partnership with Billerud will bring increased
opportunities for growth to new business sectors and high growth
markets,” says Harve Bellos, President of PACCESS LLC.
The investment is a cash transaction and subject to customary closing
conditions being met. Billerud's intention is over time to increase its
ownership in PACCESS Packaging.
For further information, please contact:
Per Lindberg, President and CEO, +46 8 553 335 01, +46 702 48 15 17
The information is such that Billerud is obligated to publish under the
Swedish Securities Market Act. Submitted for publication at 10.15 CET on
21 July 2011.