BRUSSELS Aug 30 (Reuters) – South African paper maker Mondi
Group secured European Union regulatory approval on
Thursday for its $782 million purchase of German packaging
company Nordenia that will boost its presence in consumer
packaging.
Mondi has said the deal would result in 15 million euros in
annual pre-tax cost synergies. The seller is private equity firm
Oaktree Capital.
Nordenia makes more than 90 percent of its revenues from the
packaging and components of consumer products such as pet food,
diapers and chocolate bars. It has operations across Europe,
North America and Asia, but draws nearly 60 percent of its sales
from Western Europe.
The European Commission said the deal would not hurt
competition.
“The Commission’s investigation showed that the merging
parties would have a relatively limited combined market position
and that a sufficient number of alternative suppliers remain on
the markets concerned,” the EU watchdog said in a statement.
© Thomson Reuters 2012 All rights reserved
