"Karelia Pulp", a Russian pulp and paper producer, has closed a deal for the acquisition of one of its major rivals in the local market – the Kondopoga PPM. As a result of public tender, Karelia Pulp became the owner of 100% shares of Kondopoga Pulp and Paper Mill, Russia’s largest manufacturer of newsprint.
According to Yuri Aivazov, general director of Karelia Pulp LLC, the deal will allow to increase and further diversify the high added value range of the combined company.
As Aivazov said in an interview with the Russian Delovoy Peterburg business paper, so far, a new strategy has been developed that will allow the products to become more in demand both in the international and local market.
The Kondopoga Mill was founded in 1929. For a city with a population of about 30 thousand people, the pulp and paper mill is a city-forming enterprise. In 2020 it produced more than 650,000 tons of paper, while the share of exports increased to 86.7%. The mill supplies paper to more than 60 countries around the world, including China, India, Turkey, Pakistan, Mexico, Cuba, Brazil, Egypt, Germany and France. In the past 2 years, the plant has also launched the production of new types of products, including packaging paper, paper with increased grammage and consumer properties.
By: Eugen Gerden