Trading firm opens doors for SwedPaper
The consortium behind SwedPaper, which has acquired Korsnäs PM2, sees the potential for success, thanks primarily to the accumulated know-how and the trading firm Ekman & Co.
Ekman & Co is one of the world’s largest pulp and paper trading firms. The company has annual sales of more than SEK 11 billion and 190 employees. Sales offices are established in 24 countries on five continents and the company has representation in 100 countries in total.
However, despite the market potential, the profitability requirements for SwedPaper are, for now, on the conservative side, according to SwedPaper’s Managing Director Lars Åke Brännström to Nordic Paper Journal.
– The initial focus for SwedPaper is to grow in existing product segments for the paper machine, which is bleached sack paper and bleached kraft paper. We want to focus on established market segments to achieve the volumes that will generate growth for us in the long term.”
Lars-Åke Brännström has previously sold paper machines at Valmet. His former positions also included President of Svenska Rayon, which produced viscose fiber from dissolving pulp, before the notorious Reefat El Sayed acquired the company in 2001.
– Our experimental aspirations will probably be greater in a few years. Then SwedPaper will possibly also manufacture other niche products,” says Brännström.
PM2 has an environmental concession to manufacture 70,000 ton/year. SwedPaper will manufacture 64,000 ton/year on the machine, corresponding to the volume of pulp that BillerudKorsnäs agreed to purchase at market price. The pulp will be pumped to the tower for PM2 at the mill site and then transported onward to the stock preparation and Swedpaper’s own paper machine.
As part of the agreement, BillerudKornäs has also undertaken to supply steam and water to SwedPaper.
– We have carefully analyzed what we intend to do. It’s going to be fun,” concluded Lars–Åke Brännström.
PM 2 has about 60 employees. All have been offered employment at SwedPaper.
The four behind SwedPaper
Peter Ekman, partner in Domsjö Fabriker until 2011. Partner in Ekman & Co within the family group that is a principal owner of the company.
Mikael Colebring founded Mewab, a company that works with residual products, recycling and waste. Mewab is responsible for taking care of and spreading lime sludge on agricultural land as a substance to neutralize the pH level of soil.
Lars-Eric Boreström is on the board of a number of subsidiaries of Vätterledens Invest and has a number of board assignments outside the Group. Lars-Eric was also a board member of Svenska Rayon.
Lars-Åke Brännström formerly worked at Valmet and Svenska Rayon, among other companies.