finnish packaging company huhtamaki sells films business - pet film for food packaging
Helsinki, November 24Reuters)-
Finnish packaging company Huhtamaki, known for making paper cups at McDonald's, agreed to sell its film business for 0. 141 billion euros$175 million).
The business contributed 0. 187 billion euros to the group's two companies.
Total sales last year were 3 billion euros, providing film for labels, tape and sanitary products.
Huhtamaki has been reviewing options for the film business as the group focuses on food packaging, and the company says it expects to receive a small amount of capital gains after completing the transaction, and reduce goodwill by about 45 million euros.
The German company said that most of the business will be held by the DBAG Fund VI and its management, while the German Beteiligungs will hold a 17% stake.
Huhtamaki announced on July that it will purchase India's front packaging for 0. 247 billion euros to increase access to the Indian and Middle East markets.
"After divestment and aggressive packaging deals, Huhtamaki has about 300-
0. 4 billion euros for the acquisition.
Antti Viljakainen, an analyst at Inderes, said in a note to investors: "The most likely thing is that it will seek growth in developing markets . " He added,(
American editor of David Goodman)