Finland-based pulp and paper manufacturer Stora Enso has divested its 100% stake in Finnish packaging machine producer Formeca to Amitec.
Formeca supplies material handling machines and corrugated board packaging systems, while Amitec is an engineering and machine construction company based in Finland.
Financial details of the transaction have not been divulged by either company.
Commenting on the deal, Amitec managing director Harri Mononen said: “This transaction strengthens Amitec’s strong presence as a material handling solutions supplier and we are excited with our new co-operation with Stora Enso, the strongest player in corrugated board business.”
Stora Enso corrugated Nordics and division packaging solutions senior vice-president and head Peter Torstensson added: “Supported by Amitec’s dedicated competence in this field, Stora Enso will be able to serve customers even more effectively. In addition, Amitec has the necessary strength to further develop Formeca and ensure its business progress.”
After the transaction, Stora Enso will become a reseller of Formeca machines and retain the ability to support and consult customers on packaging automation solutions.
The company noted that the transaction is a share deal and will have a limited financial impact.
On completion of the transaction, Formeca staff will transfer to the new ownership while Stora Enso will retain some employees from Formeca to enhance its customer services.
In September 2016, Stora Enso planned to consolidate the manufacturing of corrugated packaging in Finland to its Lahti plant.