Under the agreement, PM2 at the Gävle production unit will be sold to SwedPaper. The machine produces kraft and sack paper. The PM2 operation employs approximately 60 people, who will be offered employment with SwedPaper. Other operations at the Gävle production unit will not be affected by the sale and will remain in BillerudKorsnäs’ ownership.

The parties have signed long-term commercial agreements, under which BillerudKorsnäs will inter alia supply input items such as pulp, steam and water to SwedPaper. Pricing for pulp will be in line with the market. Under the conditions of the agreement, BillerudKorsnäs will sell SwedPaper an annual volume of pulp amounting to a maximum of 66 000 t. Sales of pulp to PM2 will be accounted for in the Packaging Paper Business Area. At BillerudKorsnäs, the operations of PM2 have been accounted for under Other units.

The transaction is conditional upon the approval of the European Commission and from relevant authorities.