UPM is cutting its newsprint capacity again, selling its Shotton mill in the UK to a Turkish maker of corrugated and containerboard.
The North Wales mill site and “all related assets” is being sold to Eren Paper, a subsidiary of Modern Karton Sanayi Ve Ticaret, part of Eren Holding this northern autumn.
Eren says it will integrate the site into its existing business units and to make further investment there, with jobs for all 190 current employees. Newsprint production will stop by September 30.
It is likely that the renewable energy generation plant and material recovery and recycling facility will continue. UPM says it will continue serving UK newsprint customers and sourcing RCP in the UK.
UPM Communication Papers executive vice president Winfried Schaur says the deal will help UPM further consolidate its newsprint capacity – which reduces by 250,000 tonnes a year – and support Eren in expanding in the UK market.
“The negotiations with Eren have been transparent and fair throughout and we have agreed close collaboration over the coming months to support the transition with both internal and external stakeholders,” he added.