Metsä Board, part of Metsä Group, is one of the founding members of Alliance Gobelet Carton that was founded in the spring to organise a pilot for the collection and recycling of paperboard cups in France. The first collections with partnering restaurants will start soon. Alliance Gobelet Carton is an association of four paperboard cup producers and two paperboard producers. It aims to create a collection system to recycle paperboard cups and to bring together cup producers, paperboard suppliers, cup users and the recycling sector. Participants in the scheme will be issued with a collection box that can take up to 750 cups. Piloting the collection system will begin with selected fast food restaurants and vending machine companies in France over the coming weeks. “Paperboard cups can be collected after use, recycled and used as valuable raw material when producing new packaging products. This is what we intend to demonstrate through the pilot project and to create a model that can be widened to more extensive use”, says Laurence Sovran, Sales Manager at Metsä Board.
Sonoco (NYSE: SON), one of the most sustainable, diversified global packaging companies, today announced it completed the acquisition of Corenso Holdings America, Inc. from a company owned by investment funds advised by Madison Dearborn Partners, LLC, and management for $110 million in cash.
Corenso Holdings America (CHA) is a leading U.S. manufacturer of uncoated recycled paperboard (URB) and high-performance cores used in the paper, packaging films, tape, and specialty industries. CHA produced net sales of approximately $75 million in 2018 and operates a 108,000-ton per year uncoated recycled paperboard mill in Wisconsin Rapids, Wis., as well as two core converting facilities in Wisconsin Rapids and Richmond, Va., which combined employ approximately 175 associates.
According to Rob Tiede, Sonoco President and Chief Executive Officer, “We are extremely pleased to welcome Corenso Holdings America associates to Sonoco. This transaction creates a long-term opportunity for Sonoco as CHA operates a best-in-class uncoated recycled paperboard mill that is capable of producing a wide variety of coreboard grades, in addition to providing attractive core converting assets and long-term partnerships with customers.”
The acquisition of Corenso Holdings America is expected to be modestly accretive to Sonoco’s earnings in 2019 and there are no expected planned changes in operating leadership and customer relationships. Sonoco funded the transaction using available cash and short-term borrowings. CHA’s financial results will be reported within Sonoco’s Paper/Industrial Converted Products segment.