In early March, a new tissue machine was started at Velvet Care’s Llucze mill in Poland.
The 5.6 m-wide machine was supplied by Valmet and represents one of the largest and most modern machines in the CEE market. Thanks to this, Velvet CARE will produce more than 100,000 metric tpy of high quality hygienic tissue paper using its own two paper machines. This project was carried out with the participation of such institutions as BNP Paribas and EBRD.
The announcement about starting the operations of the new tissue machine was the second message regarding changes in the company. Previously, news was published about the signing of the preliminary agreement for the purchase of the majority of shares in Velvet CARE, in close cooperation with the Velvet Care Management Board by VLET Holdings, a subsidiary of the Abris CEE Mid-Market III LP fund.
The start of the new machine finalizes the largest investment project stage in the history of the company (worth over PLN 250 million). Apart from purchasing one of the largest and most modern paper machines in CEE, five new converting machines were installed as part of this project.
Thanks to these investments and implementation of the strategy drawn up by the management board, the company has doubled its turnover and production capacity since its start-up 4.5 years ago, and strengthened itself as the undisputed leader in the market of paper hygiene products in Poland.
The takeover of the majority stake by the Abris Capital Partners fund gives an opportunity for another jump in the company development, respectively in the whole Central and Eastern Europe region. Abris Capital Partners has experience in the field of paper hygiene products in this region, as being the owner of the Pehart Tec, a leading manufacturer of tissue paper and hygiene products on the Romanian market.
Having two significant players in the hygiene paper industry in Central and Eastern Europe in its portfolio, ABRIS Capital Partners will be the owner of producers manufacturing more than 220,000 metric tpy of tissue paper.