HEINZEL GROUP completes acquisition of Steyrermühl mill from UPM

HEINZEL GROUP has confirmed the successful completion of its acquisition of the Steyrermühl paper mill in Upper Austria from UPM.

This strategic move reinforces Heinzel’s commitment to sustainability and growth in the paper and packaging industry. The acquisition agreement for the mill including its roughly 400 employees was signed in June 2022 for a takeover in 2024.

In March 2023, the ownership of an idled graphic paper machine in Steyrermühl was transferred to HEINZEL GROUP and a conversion project there is well on track. Once converted by the second quarter of 2024, the machine will produce up to 150,000 tons of brown and white low-grammage kraft papers per year to be marketed under the well-established STARKRAFT brand.

With the closing of the transaction Heinzel has now also taken over the Steyrermühl sawmill, a local power plant run with biomass and residues, and other facilities. The group plans to develop Steyrermühl into a supply centre for heat and renewable energy for both the neighbouring Laakirchen paper mill and the wider Laakirchen community. Projects include the construction of a second power plant, a large steam pipeline, and the expansion of district heating.

“Our planned investments will not only secure a sustainable future for Steyrermühl and its employees, but they will also help the whole Heinzel Group reduce the use of fossil fuels and reach our ambitious climate targets”, says Sebastian Heinzel, CEO.

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