Paper and packaging group expects to spend up to €800m in projects in 2020
Paper and packaging group Mondi plans to spend billions of rand in expanding its manufacturing plants despite falling prices for paper and pulp grades weighing down on profits.
“Having commissioned the pulp mill rebuild at our Ružomberok mill Slovakia in the second half of the year, we are making good progress on the related investment in a new 300,000 tonne kraft top white machine at the same site and previously announced major capital investment projects at our Syktyvkar in Russia and Štětí in the Czech Republic mills,” he said.
King said the company, which manufactures and sells packaging and paper products, had smaller expansionary projects at packaging operations to increase production.In the past three years, Mondi’s major capital projects cumulatively contributed an estimated €75m of annual incremental operating profit. “The incremental operating profit contribution from capital investment projects in 2019 was about €30m and we expect to generate a further €40m in 2020,” the company said.
Mondi increased operating profit by 2% to €1.2bn and upped its total ordinary dividend 9% to 83 euro cents.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Eastern Cape : Low-budget SOPA heavy on drama and promisesThe Eastern Cape premier’s State of the Province Address was dominated by announcements of multibillion-rand construction projects, even though some have already been years in the making.
Read more »
WATCH: How the rand remains under pressure amid virus outbreakRMB’s Marc Viakovsky talks to Business Day TV about the pressure on the local currency
Read more »
JSE faces virus pressure on Thursday, while rand gives up budget gainsThe local currency is weaker than it was before the budget on Wednesday, while global markets grapple with the spread of the coronavirus
Read more »
Convicted Durban couple on the run after stealing jewellery worth R5mA police manhunt is under way for a Durban couple convicted of a multimillion-rand jewellery heist in 2013.
Read more »
Convicted Durban couple on the run after stealing jewellery worth R5m“On April 16 2013, the pair broke into a business premises in the Durban North policing precinct and stole jewellery worth more than R5m.”
Read more »