Grigeo AB, one of the largest groups of paper and wood industry companies in the Baltic States, has successfully completed the transaction for the Polish toilet paper and cardboard producer Głuchołaskie Zakłady Papiernicze sp. z o. o. (GZP) acquisition of one of the factories.
In accordance with the conditions provided for in the preliminary contract, the subsidiary company Grigeo Hygiene UAB purchased 100 percent of the company AB Grigeo. GZP subsidiaries Niedomickie Zakłady Papiernicze sp. z o. o., which operated a toilet paper business located in Niedomice, Poland. The acquisition was financed from the funds accumulated by Grigeo AB.
“This transaction will allow us to gain a stronger foothold in the rapidly growing market of Eastern and Central Europe. Optimizing logistics costs will simultaneously open up wider opportunities for the realization of the highest quality production in Germany and other Western European markets,” said Tomas Jozonis, CEO of Grigeo AB.
According to him, the acquisition of a factory in Poland was one of the company’s strategic steps, for which it is consistently preparing. “We acquired not only a factory, but also experience. By searching for new solutions and expanding the range of products, we will be able to combine it with the good production practices we already have at the Grigiškii factory”, – said T. Jozonis.
This is the first purchase of the AB Grigeo group of companies on the Polish market – a sanitary paper factory located in the town of Niedomice, 90 km east of Krakow. It currently employs about 170 workers, has a paper machine and converting lines.
According to unaudited data, in 2023 of the purchased GZP unit. annual turnover was about 40 million. euros, the value of the business is about 22 mln. euros.
In the acquisition transaction, financial advisors Superia assisted in financial matters, law firms Glimstedt and Penteris provided legal assistance, and audit, tax and business consulting company KPMG performed the financial audit.
About 860 employees work in the AB “Grigeo” group of companies. According to unaudited data in 2023 The annual turnover of AB “Grigeo” group of companies reached 195.4 million. euros. Group EBITDA (earnings before taxes, interest and depreciation) compared to 2022 increased by 17.6 million euros and amounted to 38.9 million euros. in 2023 The net profit of AB “Grigeo” group of companies reached 29.6 million. EUR, that is 18.0 million euros more than during the same period in 2022. period.
Shares of AB Grigeo are included in the official trading list of AB Nasdaq Vilnius.
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Tags: Grigeo group company purchased toilet paper factory Poland
