Cascades Inc. (TSX: CAS) announces the acquisition of four plants in Ontario to strengthen its position in the containerboard packaging sector, and the purchase of an ownership position in Tencorr Holdings Corporation ("Tencorr"). The company also announces an increase in its equity holding of the Greenpac Mill LLC ("Greenpac").
"We are very pleased to expand our presence in Ontario and increase our stake in Greenpac for the second time this year. These transactions align perfectly with our vision and strategy for our containerboard activities," stated Cascades President and CEO Mario Plourde.
The four following plants were acquired from the Coyle family, and specialize in the manufacturing of boxes and speciality products offering strong growth potential:
This transaction will allow Cascades to expand its presence in Ontario, to increase its production capacity by 500 million square feet per year, and to strengthen its ability to serve customers in this region. These plants already have procurement agreements with Greenpac, and as such, the transaction will have little impact on Cascades' integration rate.