Tak Investments Seeks to Open Recycled Tissue Mill in Virginia

The investment firm Tak Investments LLC, Gaithersburg, Md., has announced a proposal to operate a recycled tissue plant in Franklin, Va. In a press release, the company says it has entered into a Letter of Intent to complete the evaluation, including a due diligence and feasibility analysis, of the project. Sahil Tak, a spokesman for Tak Investments, says the company can’t confirm or deny that it has been in discussions with International Paper concerning the company’s idled mill in Franklin.

International Paper recently announced that it would re-open a portion of the mill and produce fluff pulp.

Sahil Tak, a spokesman for Tak, says that while many sectors of the paper industry are in a difficult situation, the tissue market still shows solid growth potential. He also notes the Mid-Atlantic region is an area that is in need for a high quality mill.

The proposed project would include operating an existing recycled fiber plant in Franklin and processing post-consumer recycled fiber into tissue, towel and napkin products for converters. The project calls for modifying a paper machine into a tissue machine that would produce up to 70,000 tons per year of recycled tissue. The facility is targeted to be operational in the third quarter of 2012. The mill is targeting the away-from-home market for its tissue products.

In the press release, Tak Investments states, "We think the regional market is in need of a cost-competitive, world class recycled tissue machine, and Franklin offers a great location for this facility. We are looking forward to being a part of economic development and job growth in the Franklin community."

Tak adds that it has had conversations with various state, county and city officials about the possibility of installing a paper machine in Franklin.

Tak Investments currently owns and operates a 70,000 ton per year recycled tissue mill in Oconto Falls, Wis.