Cascades finalizes acquisition of Papersource
Cascades strengthens its market position with addition of the Granby, Que.-located tissue-converting plant.
Cascades Inc., a Kingsey Falls, Que.-headquartered leader in recovery and in green packaging and tissue paper products, has announced it has finalized the acquisition of 50 per cent of the shares that it does not hold in its affiliated company Papersource Converting Mill Corp., located in Granby, Que. The amount of the transaction is approximately $60 million.
Papersource is a tissue paper converting plant that manufactures products for the away-from-home market. It employs more than 160 employees. The quality of the equipment in the plant will make it a model plant within the Tissue Group.
Suzanne Blanchet, president and chief executive officer of Cascades Tissue Group states: “The acquisition of the remaining shares of Papersource is another important step in our action plan to modernize our operations. This plant is at the cutting edge of technology and it will enable us to effectively optimize our production in the northeastern U.S., in Québec and in Ontario. We anticipate that it will have a positive effect on our profitability. Moreover, I am confident that the arrival of the founder of Papersource, Benoit Laferrière, will be most beneficial for the development of our organization.”
Founded in 1964, Cascades produces, converts and markets packaging and tissue products that are composed mainly of recycled fibers. The Company employs close to 11,000 employees, who work in more than 100 units located in N.A. and Europe. Its management philosophy, its more than 45 years of experience in recycling and its continued efforts in research and development are strengths that enable Cascades to create new products for its customers. Cascades’ shares trade on the Toronto Stock Exchange, under the ticker symbol CAS.
For more information, visit www.cascades.com.