Italian paper giant Fedrigoni – acquired this year by equity firms Bain Capital and BC Partners - has signed a manufacturing partnership with US papermaker Mohawk to strengthen its position in the global specialty paper market for graphics and packaging. The deal “carries the potential” to lead to an acquisition.
“The Fedrigoni Group and Mohawk Fine Papers, Inc. have entered into a manufacturing agreement to expand the reach of their specialty papers globally,” said Fedrigoni - distributed in Australia by Spicers.
“Mohawk’s offer presents a mix of papers in line with Fedrigoni products, favouring luxury packaging and offering solutions particularly oriented to designers, companies, printers and converters. A similar policy of attention to sustainability, at every stage of the process production, represents a further common element with the Fedrigoni Group.
“The strategic agreement will enable Fedrigoni to expand its presence in the US market and consolidate its position as a world leader in specialty papers for luxury packaging and premium labels for wine, and Mohawk to reinforce its commitment and focus on developing increasingly high-performance, innovative, and sustainable solutions.”
Mohawk, founded in 1931, is family owned and operated, manufacturing some of the world's most recognized specialty papers for designers, consumer brands and printers. Mohawk's early innovation in digital printing and sustainability secured its leadership position in these two significant growth sectors.
“The agreement with Mohawk is a further element in our growth strategy in a market with excellent prospects such as specialty papers, especially for luxury packaging, where we intend to consolidate our global primacy,” said Marco Nespolo (pictured right), CEO of Fedrigoni Group.
“Many synergistic opportunities are also present for our self- adhesive materials division, which will expand its leading position in premium labels for the wine market in the US.”
Thomas O'Connor, Jr. CEO of Mohawk said: “We are pleased to build upon our family's legacy of manufacturing and distributing paper recognized and trusted around the world for the many uses of our customers.
"Like Mohawk, the Fedrigoni Group is focused on expanding the specialty papers market. Our partnership will allow us to continue our commitment and focus on the development of increasingly high-performing, innovative, and sustainable solutions."
The alignment between Mohawk and Fedrigoni carries the potential to “formalize a strategic transaction” over the next several years, Fedrigoni said.
In July 2022, Fedrigoni entered global wrap film market with the acquisition of Unifol - a Turkey-based manufacturer of self-adhesive PVC films.
Fedrigoni, founded in 1888, has more than 4,500 employees in 27 countries and 48 facilities, including production plants, cutting centres and distribution. The group sells and distributes 25,000 products in 132 countries and is a leading global player in wine labels and specialty papers for luxury packaging, and the third largest player in premium self-adhesive materials.
Ritrama, Fedrogoni's adhesive film arm, is sold in Australia by HVG. Fedrigoni paper products are distributed in Australia by Spicers.