Ahlstrom Sells Its Stake in Sonoco-Alcore For EUR 35 Million
July 24, 2006 (Press Release) - Ahlstrom, a global leader in high performance fiber-based materials, sells its 35.5 per cent shareholding in the Sonoco-Alcore joint venture to Sonoco for EUR 39.5 million. Ahlstrom will book a capital gain of approximately EUR 3 million from the sale in the third quarter 2006.
The transaction supports Ahlstrom's strategy to focus on fiber-based materials and to divest non-core assets. Including this transaction, Ahlstrom has to date sold non-core assets amounting to EUR 44 million in 2006.
Sonoco-Alcore produces coreboard and cores and tubes for industrial use. Today, the joint venture consists of 28 tube and core plants and 6 paper mills. Total net sales for the joint venture in 2005 were approximately EUR 270 million.
In Finland, Sonoco-Alcore operates five plants: three in Karhula, one in Ruukki and one in Anjalankoski. These plants employ altogether 200 employees.
Sonoco-Alcore was established in 2004. Prior to the transaction signed today, Sonoco owns 64.5 per cent of the joint venture and Ahlstrom 35.5 per cent.
The closing of the transaction is subject to the approval of certain local competition authorities.