SCA extends ownership in China
- Regulatory press release
SCA has purchased the remaining 7.5% of the shares in SCA Packaging Asia (formerly Central Package Group) for 6.5 MUSD (approx 45 MSEK). The seller is the chemicals company Sekisui. The purchase is a continuation of SCA’s acquisition in 2004, when the shareholding was increased from 65% to 92.5% and the company will now be a wholly owned subsidiary of SCA.
The acquisition confirms SCA’s expansive plans for China and adjacent markets.
SCA’s President and CEO Jan Åström: “Investments in recent years, including investment in a totally new packaging plant in Suzhou, are important steps in a strategy designed to increase growth in the Chinese market.”
SCA Packaging Asia has annual sales corresponding to approx 200 MUSD (SEK 1.5 billion). SCA expects sales to at least double within five years through organic growth.
The company’s operations are mainly in China, where there are 16 production units.
A further six plants are located in Singapore, Malaysia and Indonesia.
Stockholm, 27 December 2006
SVENSKA CELLULOSA AKTIEBOLAGET SCA (publ)
Communications and Investor Relations
For further information, please contact:
Pär Altan, Vice President Media Relations, +46 70 386 52 37