Bio Pappel to acquire Mexican paper company

Bio Pappel, which bills itself as the largest paper company in Mexico, has reached an agreement to acquire all the assets of Mexico-based Grupo Papelero Scribe, which has been manufacturing printing and writing paper at five facilities since it was formed in 2006. Grupo Scribe also operates a trading company.

The acquisition means Bio Pappel will have more than 30 production sites in Mexico and the United States. Bio Pappel says the acquisition is part of its strategy to grow and integrate its operations throughout North America and Latin America. The deal is contingent on approval from Mexico’s Federal Competition Commission.

If the deal is completed, Bio Pappel and Scribe would become the principal subsidiaries of Group Bio-Pappel, which would be the largest and most integrated manufacturer of paper and paper products in Latin America.

With the acquisition, the two companies would control from 18 to 20 percent of the Mexican pulp, paper and cardboard market in Mexico, according to several sources.