Picks up cigarette filter paper company
Mayr-Melnhof Packaging has come to an agreement with the owners of TANN Group on the 100% acquisition of the group headquartered in Traun, Austria. TANN Group prints on and finishes externally sourced fine paper to produce tipping paper (cigarette filter paper). Annual sales of approximately €230 million are generated by eight production sites in seven countries and a worldwide workforce of around 1,100 employees.
Through this acquisition MM Packaging extends its position in cigarette packaging. The aim is to further strengthen the profitability of MM Packaging along with the expansion of the value chain. Pending the approval of the antitrust authorities, the closing is expected by year-end 2018 or the beginning of 2019. The equity purchase price will amount to approximately €275 million.