Ahlstrom, a global high performance fiber-based materials company, announces that the demerger of Ahlstrom's Label and Processing business in Europe (LP Europe) has been registered with the Finnish Trade Register. A total of 11,597,326 new shares in Munksjö Oyj were issued as demerger consideration to Ahlstrom's shareholders in the LP Europe demerger.
This means that the total number of shares in Munksjö Oyj, following the registration of the demerger and the two other shares issues with the Trade Register on Monday morning, will amount to 38,769,590.
The second phase of the transaction, the demerger of Coated Specialties in Brazil, is expected to the completed during the second half of this year.
- Ahlstrom will continue to focus on high performance fiber-based materials that purify air and liquids, protect people and provide surface and structure to the customers' products.
- Ahlstrom's shareholders will own shares in two listed companies, Ahlstrom and Munksjö, both global leaders in their fields.
- Ahlstrom's Label and Processing business in Europe had net sales of EUR 562.5 million in 2012. Four plants and altogether about 1,000 employees will transfer to Munksjö.
- Right after the closing, Ahlstrom will buy back its operations in Osnabrück, Germany. The wallpaper and hybrid wallcovering business will remain with Ahlstrom, while the abrasive backings and pre-impregnated décor paper businesses will be divested to a third party in accordance with the commitments made to the EU Commission.
- Ahlstrom becomes a major shareholder in Munksjö, holding a total of 23.4% per cent of the shares following the completion of the European part of the transaction. After the completion of the Brazilian demerger, Ahlstrom's shareholding in Munksjö will be 17.8%.
"The rationale for this transaction remains sound: Ahlstrom can now focus on businesses in which we see the most attractive value-add and growth opportunities. On the other hand, the Label and Processing business can be further developed as part of a leading specialty paper company", said Jan Lång, President & CEO, Ahlstrom.
"Ahlstrom will now steer its resources fully towards high performance fiber-based materials. We have made great progress with our product pipeline, and we will utilize our improved capabilities in product and technology development to introduce unique products that help our customers differentiate."
"Our primary goal now is to raise profitability, and seek growth based on the new product and technology platform now established. We are currently working with our strategic agenda going forward, and will communicate more on this after the summer holidays", Lång states.
