# Stora Enso sells paper mill to German Lidl owner Schwarz Group
Author:  Pal Sinha, Barnali 
Author URL: https://financedigest.com/author/pal-sinha-barnali
Published: 2022-09-13
Category: NEWS
Category URL: https://financedigest.com/category/news
Meta Title: Stora Enso to Sell Paper Production Site to Schwarz Group
Meta Description: Stora Enso to divest Maxau site as part of focus shift to packaging, expecting 50 million euros gain. Schwarz plans to continue production, keep employees.
URL: https://financedigest.com/stora-enso-sells-paper-mill-to-german-lidl-owner-schwarz-grouphtml

![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/2022-09-13t082010z1lynxmpei8c0curtroptp4stora-enso-results-1736815228571-compressed.jpg)

HELSINKI (Reuters) – Finnish forestry group Stora Enso said on Tuesday it would sell its Maxau paper production site in Germany to Schwarz Group, the owner of discount supermarket chains Lidl GB and Kaufland.

The transaction is part of Stora Enso’s plan to divest four of its five remaining paper production sites as it shifts its focus to packaging.

The company expects to book a disposal gain of around 50 million euros ($50.7 million) on the expected closing of the deal in the first quarter of 2023. The [German site has an enterprise value of around 210 million euros](https://www.financedigest.com/stellantis-to-invest-130-million-euros-in-german-plant-for-new-opel-electric-car.html "Stellantis to invest 130 million euros in German plant for new Opel electric car"), it said.

Schwarz’s [plan is to continue paper production](https://www.financedigest.com/apple-plans-to-cut-iphone-14-production-lag-between-china-india-bloomberg.html "Apple plans to cut iPhone 14 production lag between China, India – Bloomberg") at the site, and the 440 employees belonging to the mill organisation at Maxau will be part of the transaction,” Stora Enso said in a statement.

In a strategy update, Stora Enso said it aimed to generate more than 60% of group [sales from renewable packaging by the end](https://www.financedigest.com/eu-approves-law-to-end-sales-of-new-co2-emitting-cars-by-2035.html "EU approves law to end sales of new CO2-emitting cars by 2035") of the decade.

By 2030, we aim to have a significantly lower exposure to market pulp and reduce cyclicality by increasing integration and growing in Renewable Packaging, [Building Solutions as well as new innovative biomaterials in our portfolio,”](https://www.financedigest.com/building-a-portfolio-for-retirement.html "Building A Portfolio For Retirement") it said.

Last week, Stora Enso said it had agreed to buy [Dutch packaging company De Jong for an enterprise value of 1.02 billion euros](https://www.financedigest.com/amazon-grants-1-5-million-euros-to-dutch-seaweed-farm-project.html "Amazon grants 1.5 million euros to Dutch seaweed farm project") ($1.02 billion).

($1 = 0.9867 euros)

(Reporting by Anne Kauranen; Editing by Kirsten Donovan)


---
This blog is powered by Superblog. Visit https://superblog.ai to know more.
---