STOCKHOLM, Sweden, Dec. 22, 2004 (PRIMEZONE) -- The EQT III fund ("EQT"), announced today that the fund has signed an agreement with Jefferson Smurfit Group to acquire Munksjo AB. Under EQT's ownership, Munksjo will comprise of decor and specialty paper and the Aspa mill, following the recent divestment of the tissue division to SCA and the retention of the packaging division by Jefferson Smurfit. Munksjo, headquartered in Jonkoping, Sweden, is the leading producer of decor and specialty paper in the world, with sales of approximately EUR 480 million (excluding the divested and separated divisions), 1 500 employees and nine mills in Sweden, Germany, Spain, Italy, USA and Norway.
Munksjo's fastest growing product area is decor paper, which is used in laminates in the manufacture of flooring, kitchen furnishings, furniture, walls and other interior furnishings. Consumer preferences in the world are driving substitution to laminates, and Munksjo, with its global market share of approximately 25% in decor paper, is well positioned in this growing market.
"The 'new' focused Munksjo fits well into EQT's strategy to invest in high-quality companies with significant growth and development potential. EQT will ensure that the independent and focused Munksjo will be provided with sufficient resources and attention to continue to develop the business together with the management team, so as to capture its full potential," says Caspar Callerstrom, Partner at EQT Partners, investment advisor to the EQT funds.
Per Rodert, CEO of Munksjo, adds: "We are enthusiastic about working with EQT in building and developing Munksjo's position as a leader in the decor and specialty paper markets. EQT's financial resources and experience of driving industrial acceleration, coupled with Munksjo's strong market position, will improve our potential to expand the business further, both organically and through acquisitions".
The acquisition is subject to customary regulatory approvals.
EQT was advised by, and the transaction will be financed by Deutsche Bank.
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