SCA Announces Price Increase for Publication Papers

Stora Enso has signed an agreement to divest its Nymölla paper production site in Sweden, and all related assets to Sylvamo, a US-based global producer of uncoated paper. The enterprise value is EUR 150 million. Closing is expected in the beginning of 2023, subject to regulatory approvals. The Nymölla site’s capacity is 485,000 metric tonnes of woodfree uncoated office papers, with Multicopy as the leading paper brand. Based on the 2021 figures, the divestment is expected to reduce Stora Enso’s annual sales by approximately EUR 290 million. Stora Enso will, at closing, book a one-time disposal loss of approximately EUR 20 million in its IFRS operating profit, as an item affecting comparability, subject to closing date adjustments.

Pixelle Specialty Solutions Holding LLC announced that it has signed a definitive agreement to be acquired by an affiliate of H.I.G. Capital. Terms of the transaction were not disclosed. Pixelle was formed in 2018 by Lindsay Goldberg, a private investment firm that focuses on partnering with families, founders and management teams seeking to actively build their businesses. Pixelle has built an industry-leading four-mill specialty paper platform with mills in Chillicothe, OH; Jay, ME; Spring Grove, PA; and Stevens Point, WI. Collectively the mills operate 11 paper machines and produce more than one million tons of paper annually. Timothy Hess, Pixelle’s Chief Executive Officer, said, “Together with Lindsay Goldberg, Pixelle has developed a broad, innovative portfolio of industry leading brands across the specialty papers and sustainable packaging markets. In under four years, we have transformed Pixelle into the leading specialty-focused paper producer in North America through three strategic acquisitions and successful implementation of a continuous improvement program. We thank Lindsay Goldberg for their partnership and look forward to our next chapter with H.I.G. Capital.”

In a positive move to reduce its carbon footprint, Sappi Southern Africa has concluded a milestone 175GWh per annum renewable energy Power Purchase Agreement (PPA) with Enpower Trading, a NERSA-licensed private electricity trading company. Sappi’s decision to partner with Enpower Trading aligns seamlessly with its broader sustainability goals and is a significant move towards attaining its Science Based Target (SBTi) objectives. By implementing this renewable energy solution at its multiple South African operations, it is expected that Sappi SA and Sappi Limited’s Scope 1 and Scope 2 emissions will be reduced by 6% and 4% respectively. The power supplied to Sappi will be sourced from SolarAfrica Energy’s Sun Central PV project. SolarAfrica Energy, an integrated energy solutions provider, is executing one of the largest solar farms in South Africa – the 1GW Sun Central PV project is located southeast of De Aar in the Northern Cape.