International packaging and paper group Mondi has acquired a majority stake of 95% in South Korean packaging firm KSP.
Financial details about the deal have not yet been disclosed.
KSP offers packaging materials and products, focusing on the food, pet food and drinks industries in the US, Europe and other Asian countries.
The firm runs a production centre at Seoul, South Korea, and has interest in another facility in Thailand.
The company had secured nearly $50m in annual revenues for the year ending 31 December 2014, reports PackagingNews.
Mondi expects the acquisition to complement its existing stand-up pouch packaging operations in Austria and the US.
It will also help the company to better serve its American and Asian customers.
Mondi CEO David Hathorn said: "This acquisition further supports Mondi's strategy to develop in high value-added, high-growth markets in our consumer packaging business."
Meanwhile, the firm has agreed to sell off its recycled containerboard mill and related recycling operations in Raubling, Germany, to Heinzel Group for €25m.
The divestment has been planned to help Mondi to focus on developing its core containerboard operations.
The sale awaits competition clearance and is expected to be completed by year end.
Image: Mondi expects KSP operations to complement its existing stand-up pouch packaging operations in Austria and the US. Photo: courtesy of Mondi.