Paperboard group selling its assets to European private equity firm.
The Newark Group (TNG), based in Cranford, N.J., has reached an agreement to sell its European operations to the Spain-based private equity firm PHI Industrial Acquisitions. The sale will include all TNG’s operations in Spain, France, Germany and The Netherlands. A total of eight facilities are included in the acquisition. Terms of the deal were not disclosed.
“Our European and North American operations benefited from more than a decade of best practices that allowed both regions to grow, prosper and position themselves for the future,” says Frank Papa, president and CEO of TNG. “Now, however, we believe it is the right time to separate the two entities and re-dedicate our energies and resources in the geographic markets in which we have historical strength while providing the means to pursue growth in new products and new markets.”
TNG currently has 6 mills, 10 recycling facilities, 15 tube and core operations and 3 BCI operations. In addition to its presence in the United States, TNG has two facilities in Ontario, Canada.
The deal is expected to be complete by the end of this year.