* Sees loss of 71 mln euros
* Svenska Cellulosa also sells stake
JOHANNESBURG Oct 2 (Reuters) – South African paper firm
Mondi Group has sold its 50 percent stake in its
money-losing UK newsprint business to private equity firm
Martland Holdings, and would likely see a loss of 71 million
euros on the deal.
Mondi, which is focusing more on fast-growing
businesses such as consumer packaging, said in a statement on
Tuesday it had sold its stake in Aylesford Newsprint Holdings, a
supplier of newsprint to major British newspapers.
Swedish firm Svenska Cellulosa has also sold its
half of the business to Martland, Mondi said.
Mondi said the sale was for a “nominal sum” and it would
book a loss of about 71 million euros on the transaction, with a
negative cash flow impact of 17 million euros.
Mondi said in July it would buy German packaging firm
Nordenia International from Oaktree Capital in a $782
million deal to give it a bigger presence in packaging for
everything from pet food to chocolate bars.
Shares of the company were little changed at 83.75 rand in
Johannesburg trade at 1355 GMT.
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