UPM acquires MACtac

UPM-Kymmene Corporation has acquired the MACtac pressure sensitive materials business from US-based Bemis Company Inc., for USD 420
million. At the same time UPM-Kymmene will sell its plastic films manufacturer, Walki Films, to Bemis Company, Inc. for USD 70 million. The acquisition by UPM-Kymmene will strengthen the global business operations of its subsidiary, Raflatac. Both transactions are expected to close by year-end and are subject to approvals by competition authorities.
In 2001, MACtac's turnover was approx. USD 500 million and it has five
production facilites in the US, one in Belgium and a joint venture in
Mexico. The deal will increase Raflatac's share of the US self-adhesive labelstock market significantly and gain knowhow in new special materials. The product offering will be complemented by graphic
products and technical two-sided tapes.
UPM-Kymmene says efficiencies of the mills will be improved through specialization and optimization of the production lines. Other key sources for synergies are logistics and purchasing. MACtac also possesses technology which complements Rafsec's smart labels development.
UPM-Kymmene Converting Industry now consists of Raflatac, producing
self-adhesive labelstock, Loparex producing siliconized release
materials and Walki Wisa producing wrappings and composite materials.