Helsinki, Finland, 23 June 2011 -- Ahlström Capital and the Accent Equity 2008 investment fund are combining their operations in the packaging industry to form a new group: Arch Packaging Group AB. The merger strengthens the competitiveness of the constituent companies A&R Carton and Flextrus, which will continue to operate on the market as separate companies and brands. The change is a step in the direction of a possible future IPO.
A&R Carton is one of Europe’s leading folding carton packaging companies, while Flextrus is a leader in northern Europe within flexible packaging. Together, the two specialist companies will be better equipped to compete on the packaging market.
"The new group creates added value for customers via a broader offering and a deeper knowledge of packaging. The new ownership structure will give two strong companies with similar values greater resources to grow both organically and by acquisition," said Morten Ahlström of Ahlström Capital.
"A&R Carton and Flextrus will continue to do business as two separate companies on the market but will collaborate where this offers advantages. This will give the companies a stronger base for development of new innovative packaging solutions and in the ongoing restructuring of the packaging market," said Jan Ohlsson, Accent Equity Partners AB, investment advisor to Accent Equity 2008.
The Öresund region has a packaging cluster in strong growth, with world-leading research at its doorstep, making the region attractive for investment.
Arch Packaging Group AB will have an annual turnover of about EUR 500 million and 2000 employees in 18 factories and eight countries in Europe. The Group will be domiciled in Malmö, Sweden. The board of directors will be chaired by Ahlström, with Ohlsson as deputy chairman. A&R Carton’s president and CEO, Per Lundeen, will be CEO and Flextrus’s CEO, Per Nyström, will be deputy CEO. With the formation of the joint group structure, Capman will divest its interest in A&R Carton. The transaction is conditional upon approval from competition authorities.