OpenGate Capital closed its buy of the Kotka Mills division of Stora Enso, a Finnish corporation. The deal also includes Stora Enso’s laminating paper operations in Malaysia and Stora’s related business operations in Tainionkoski, Finland. Financial terms were not disclosed. Los Angeles-based OpenGate is an opportunistic private equity firm.
OpenGate Capital, a global private equity firm, has closed its acquisition of the Kotka Mills division of Stora Enso, a multi-billion euro, publicly traded Finnish corporation, along with Stora Enso’s laminating paper operations in Malaysia. The transaction also includes Stora Enso’s related business operations in Tainionkoski, Finland. Today, OpenGate Capital unified and rebranded these entities under the name Kotkamills, enabling them to continue selling high-quality specialty papers and wood-based products to the global laminate, plywood, construction and magazine industries under one new company.
Kotkamills President Tuija Suur-Hamari said, “We are thrilled to be partnering with OpenGate Capital, which shares our long-term commitment to the business and pride in our 135-year heritage. Our team is eager to initiate new capital investment projects and new product developments with the support of OpenGate to ensure our future growth plans and continue to meet our customer needs around the world for years to come.”
Kotka, Finland is the global headquarters of the company. The new Kotkamills is committed to continuing to provide customers with the utmost quality and service, and to managing and developing its business in a sustainable manner. Ongoing research and development are also key priorities, as well as maintaining the consistent superiority of its primary products for which the company is known, including its Absorbex, Imprex and Solaris brands and various wood products. The largest part of the business, the laminating paper division, is experiencing robust demand year over year and is a strong global market leader in its product categories. Kotkamills generates approximately €250 million in annual revenue and employs about 570 people.