Packaging firm DS Smith has completed the sale of the De Hoop paper mill in the Netherlands to De Jong Packaging.
The transaction was worth €50 million (£42.4 million), and according to DS Smith, will support its funding of new corrugated box plants in Italy and Poland, and a significant expansion of its Arnstadt packaging facility in Germany.
At the De Hoop mill, mainly heavier grades of recycled paper are produced, and this sale will allow DS Smith to align its internal paper production for its priorities in light-weight sustainable packaging solutions for FMCG and e-commerce customers.
DS Smith group chief executive Miles Roberts said: “I am pleased that we have completed the sale of the De Hoop mill, which is consistent with our long term strategy to align our paper production and footprint with the needs of our packaging customers.
“I would like to thank our colleagues at the De Hoop mill for their hard work, and wish them all the best with De Jong Packaging.”