Constantia Packaging subsidiary Duropack makes takeover offer for Croatian paper and corrugated board manufacturer Belisce
February 24, 2010
– Duropack AG, a 100% subsidiary of Constantia Packaging AG, has held 24.7% in the leading Croatian paper and corrugated board manufacturer Belisce d.d. Following the signing of a contract for the purchase of further shares, the 25%-threshold has been reached, so Duropack has to submit a takeover offer for 100% of the shares. This offer will be published immediately after approval of the Croatian Takeover Commission.
Belisce is a leading company in paper and corrugated board in South Eastern Europe with ten production sites in Slovenia, Croatia, Serbia and Macedonia. According to preliminary results 2009 the company achieved sales of € 132.7 million and a net income of € 0.3 million. Belisce has been listed at the Zagreb Stock Exchange since 2003.
In the course of the financial and economic crisis, also Belisce faced a marked reduction in earnings and share price, corresponding to that Constantia Packaging AG has written down its participation by € 16 million last year. In view of the economic conditions in the region South Eastern Europe Duropack as largest single shareholder intends to propose a capital increase of up to € 20 million to Belisce in order to lower its gearing. Duropack in its responsibility as largest single shareholder will consequently fully participate in this capital increase.
Considering the volatile business environment in the medium-term, the Duropack-Group will also propose to retain future earnings within Belisce in order to further reduce gearing and strengthen the equity base.
Ad-hoc release The Constantia Packaging Group operates in the "aluminum", "corrugated board" and "flexible packaging" businesses. Approximately 7,600 employees in 20 European, Asian and American countries produce raw aluminum, semi-finished aluminum products as well as packaging solutions from aluminum, plastic and corrugated board packaging for the food, beverages, pharmaceuticals, automotive, aviation and other industries.