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EU Commission Approves UPM's Acquisition of Myllykoski, Rhein Papier
July 13, 2011 (Press Release) - The European Commission has today unconditionally approved UPM-Kymmene Oyj’s acquisition of Myllykoski Corporation and Rhein Papier GmbH ("Myllykoski"). Thus UPM has obtained all required regulatory clearances for the transaction. The target for the final closing of the transaction is in late July - early August. The companies announced the transaction on 21 December 2010. "We are extremely pleased with the Commission’s positive decision. The regulatory process proceeded as planned and the authorities thoroughly investigated the effects of the transaction on the markets. The approval of the transaction means that the European paper industry has better prerequisites to be competitive in the rapidly evolving world of media and against global industry players," says Jussi Pesonen, UPM’s President & CEO. The transaction includes Myllykoski’s seven publication paper mills in Germany, Finland and the United States. The total annual paper production capacity is 2.8 million tonnes. The transaction also includes Myllykoski Corporation’s 0.8 % ownership of the Finnish energy company Pohjolan Voima Oy. The approximate enterprise value of all businesses acquired is EUR 900 million. Providing closing takes place before August 3, UPM will publish proforma financial information on the transaction in connection with its interim review. SOURCE: UPM |