Georgia-Pacific Announces Agreement to Sell European Nonwovens Business to Glatfelter

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Jun 19, 2018, 07:00 ET

ATLANTA, June 19, 2018 /PRNewswire/ -- Georgia-Pacific LLC announced today that it has reached an agreement to sell Georgia-Pacific Steinfurt GmbH, the company's European nonwovens business, to Glatfelter, a global manufacturer of specialty papers and engineered products headquartered in York, Pennsylvania. The transaction is subject to customary closing conditions, including regulatory clearances from competition authorities. The price is $185 million.

Located in Steinfurt, Germany, the Georgia-Pacific Steinfurt GmbH nonwovens facility produces airlaid nonwoven material for commercial customers used to make table top, wiping, food pads, hygiene and related products.

The proposed transaction includes Georgia-Pacific's European nonwovens operations located in Steinfurt, Germany, along with sales offices located in France and Italy. The nonwovens operations in Steinfurt produces airlaid nonwoven material for commercial customers used to make table top, wiping, food pads, hygiene and related products. In the proposed transaction, current Georgia-Pacific Steinfurt GmbH employees, totaling approximately 220 people, will become employees of Glatfelter at the time the deal closes.

The transaction does not include Georgia-Pacific's U.S.-based nonwovens business, including operations at Mt. Holly, North Carolina; Green Bay, Wisconsin, and the nonwovens R&D center in Memphis, Tennessee.

Doug Dowdell, president – nonwovens for Georgia-Pacific, said, "Georgia-Pacific nonwovens employees in Steinfurt have done a great job running a safe and productive operation, and have worked hard to make significant improvements to meet European customer needs. We believe this sale to Glatfelter, an established manufacturer with multiple European operations, is in the best interests of customers and Georgia-Pacific Steinfurt GmbH employees."

Based in Atlanta, Georgia-Pacific and its subsidiaries are among the world's leading manufacturers and marketers of bath tissue, paper towels and napkins, tableware, paper-based packaging, office papers, cellulose, specialty fibers, nonwoven fabrics, building products and related chemicals. Our familiar consumer brands include Quilted Northern®, Angel Soft®, Brawny®, Dixie®, enMotion®, Sparkle®, Mardi Gras®, Vanity Fair®, and STAINMASTER™ household cleaning products. Georgia-Pacific has long been a leading supplier of building products to lumber and building materials dealers and large do-it-yourself warehouse retailers. Its GP Harmon Recycling subsidiary is among the world's largest recyclers of paper, metal and plastics. The company operates nearly 200 facilities and employs approximately 35,000 people directly, and creates nearly 92,000 jobs indirectly. For more information, visit: gp.com.

SOURCE Georgia-Pacific