Smurfit Kappa, one of the world’s largest manufacturers of paperbased packaging products, has agreed a deal to buy Serbia’s largest integrated packaging business, FHB and Avala Ada, for €133 million.

The company said the acquisition will expand its geographic footprint and provide for full containerboard integration in its packaging operations in Southeast Europe.

Smurfit Kappa Group CEO, Tony Smurfit, said the acquisition will be a cornerstone to the expansion of its business in Southeast Europe. “We look forward to welcoming their experienced teams into the Smurfit Kappa Group, and we are confident their expertise and the high quality of the companies’ asset bases will provide us with an excellent platform to grow in the region and further strengthen our European offering for our new and existing customers.”

In a trading update, the paper and packaging company said year-on-year pre-tax earnings between January and September rose by 27% to €1.1 billion. The company saw revenue growth of over 7% year-on-year.

Smurfit Kappa has also announced Irial Finan will succeed current Chairperson Liam O’Mahony, who is retiring in May.

Source; RTE