AR Packaging Group has announced that it has cancelled its planned divestment actions and will instead commit €30 million to investments to “further strengthen the group” in 2014.
According to the Sweden-based company, which operates in branded products, specialties and food packaging, the investments will be funded from operational cash flow, and will focus on the expansion of the company as well as increasing efficiency in its plants.
“This largest investment program ever will allow us to set up milestones in the development of our company,” says AR Packaging Group president and CEO Harald Schulz.
“This will give us the possibility to accelerate and continue the actions around our successful strategy of the last years.”
Formed in 2011 as a merger between carton board packaging company A&R Carton Group and flexible packaging specialist Flextrus, AR Packaging Group has a turnover exceeding €400 million, with 1,600 employees in 14 factories in 7 countries.
In November 2013, the company announced plans to divest the company’s tobacco, specialties, and food packaging operations, with the other parties involved in the move being named at the time as Mayr-Melnhof Karton and Weidenhammer Packaging Group.
www.ar-packaging.com
