Paper and packaging company Smurfit Kappa has completed the acquisition of Reparenco, a paper and recycling business in the Netherlands, for €460m.
The acquisition means Smurfit Kappa can increase its capacity to recycle containerboard in Europe.
The company continues to see strong demand for containerboard, driven by growth in e-commerce and increased substitution of plastic with paper-based packaging.
Smurfit said that Reparenco's strong strategic fit with its existing European businesses is expected to deliver synergies of more than €30m.
Reparenco operates a two machine paper mill in the Netherlands with a capacity of 675,000 tonnes together with a 750,000 tonne recovered fibre operation.
Smurfit Kappa, CEO, Europe, Saverio Mayer, said there was a strong cultural fit between the two businesses.
"Reparenco represents early delivery of a central element of our medium term plan - to increase our European recycled containerboard capacity," Mr Mayer said.
He said the company was ideally situated in Smurfit Kappa's core European operating region where it continues to see strong demand driven by growth in e-commerce and increased substitution of plastic with paper-based packaging.
