Fri, 10 Oct, 2014 12:01:05 AM FTimes -STT Report, Oct. 10  Storage of at Stora Enso Sunila pulp factory in Eagle.File Photo–Lehtikuva. Austrian paper producer Brigl & Bergmeister on Thursday withdrew its merger application with Stora Enso's Uetersen paper mill, confirmed Stora Enso.
Stora Enso in a release said that it had signed an agreement in May 2014 to divest its Uetersen specialty and coated fine paper mill in Germany to Brigl & Bergmeister, an Austrian specialty paper producer.
According to the release, Stora Enso recorded a negative non-recurring item of approximately EUR 34 million related to the planned disposal in the second quarter 2014 operating profit.
In September, the German Federal Cartel Office (FCO) indicated intentions to block the proposed merger. Stora Enso said that despite further evidence provided by the parties to clear the concerns of the FCO, the authorities’ assessment remained.
As a result, Brigl & Bergmeister withdrew the application for the merger on 9 October and both parties agreed to cancel the share purchase agreement.
Stora Enso said it will reverse the loss on disposal of approximately EUR 28 million as a positive non-recurring item in its third quarter 2014 operating profit.
Stora Enso said it will evaluate its options, which may include divestment or restructuring of the loss-making Uetersen Mill. The company said the process does not affect the specialty paper production at Imatra Mill or the coated fine paper production at Oulu Mill in Finland.
More News
|
|
Finland Times
| Monday, 29 April, 2024 |
|
Copyright © 2024 All rights reserved
|
||||
