International packaging and paper group Mondi will acquire Egyptian privately owned industrial bags producer National Company for Paper Products and Import & Export (NPP) for €23.7-million.
The transaction is subject to customary closing conditions and is expected to complete during the first half of this year.
NPP operates one plant in Giza, near Cairo, in Egypt, which serves mostly regional customers.
For the year ended December 31, 2017, NPP generated revenues of €29-million and adjusted earnings before interest, taxes, depreciation and amortisation of €5-million.
Mondi is a major industrial bags producer in the Middle East, operating four plants in the region.
“The acquisition of NPP complements our network of plants in the growing Middle East region and provides us with a leading position in Egypt to grow our business and better serve our customers,” Mondi fibre packaging CEO Erik Bouts commented.