Highlights for the quarter Profit for the period US$100 million (Q2 2015 US$56 million) EPS excluding special items 16 US cents (Q2 2015 11 US cents) EBITDA excluding special items US$195 million (Q2 2015 US$170 million) Net debt US$1,652 million, down US$264 million year-on-year Commenting on the result, Sappi Chief Executive Officer Steve Binnie said: “Our strategy to reposition Sappi as a profitable and cash-generative diversified woodfibre group remains well on track. The strong quarterly growth in our EBITDA excluding special items continues with an increase of 15% over the prior year to US$195 million.” Turning to the second half of the year, Binnie commented: “Based on current market conditions, and assuming current exchange rates, we expect the growth in the second half EBITDA excluding special items to be in line with that of the first half of the year. As a result of improved operating profits and lower expected finance costs, offset somewhat by increased tax charges, we expect a strong increase in our earnings.”
The Boards of Directors of Ahlstrom Corporation (“Ahlstrom”) and Munksjö Oyj (“Munksjö”) have today resolved to complete the merger of Ahlstrom into Munksjö in accordance with the merger plan. The combination of Ahlstrom and Munksjö creates a global leader in sustainable and innovative fiber-based solutions with a combined annual net sales of approximately EUR 2.2 billion, approximately 6,200 employees and 41 production and converting facilities in 14 countries. The registration of the execution of the merger is expected to take place on April 1, 2017.
The name of the combined company will change to Ahlstrom-Munksjö Oyj (“Ahlstrom-Munksjö”) upon the registration of the execution of the merger. A total of 45,376,992 new shares in Ahlstrom-Munksjö will be issued as merger consideration to Ahlstrom’s shareholders. The new shares are expected to be registered with the Finnish Trade Register on April 1, 2017. Trading in the new shares is expected to commence on the Nasdaq Helsinki and Nasdaq Stockholm stock exchanges on April 3, 2017. Following the merger, the trading codes for Ahlstrom-Munksjö’s shares will be AM1 on Nasdaq Helsinki and AM1S on Nasdaq Stockholm. Furthermore, the trading code on Nasdaq Helsinki for the EUR 100,000,000 senior unsecured callable fixed rate notes due 2019 will be AMJ041219.
Ahlstrom-Munksjö will publish its interim report for January-March 2017 on April 26, 2017 and pro forma financial information on the combined company on or about May 15, 2017. A stock exchange release on the unaudited final accounts of Ahlstrom for January-March 2017 will be published on April 26, 2017.