by Sean Ungerer | Jun 8, 2021 | Forestry and Paper
Turnover -16% y/y & EBITDA -20% y/y (-6% q/q): Lower volumes for Paper (-14%) and Pulp (-14%), while Tissue was up 11%. With lower UWF production, the EBITDA margin contracted by 107bps y/y (-128bps q/q) to 20.7%. With strong FCF generation (+279% y/y), this...
by Sean Ungerer | Jun 7, 2021 | Forestry and Paper
Key YTD moves: Polyester +16%; HW DWP +45%; China-origin DWP +43%; medium-grade VSF +11% and high-end VSF +13%. In contrast, Lyocell is only up 3%. VSF prices came under further pressure this week (medium-grade down 3.4% and high-grade down 1.5%): The VSF operating...
by Sean Ungerer | Jun 4, 2021 | Forestry and Paper
Mondi completes acquisition of Olmuksan from IP for EUR 66mn: This follows on from the announcement on 5 January 2021 of MNP’s intention to acquire 90.8% of the company, with an EV of EUR 88mn on a 100% basis. MNP will now launch a mandatory tender offer to acquire...
by Sean Ungerer | Jun 2, 2021 | Forestry and Paper
Pulp prices stable but could soon change: The Chinese government announced they would curb commodity prices in China (hardwood DWP down 4% this week to USD 1,060/t). Bleached softwood kraft (BSK) pulp futures are now down USD 147/t in the past two weeks (currently RMB...
by Sean Ungerer | May 31, 2021 | Forestry and Paper
Key YTD moves: Polyester +13%; HW DWP +51%; China-origin DWP +43%; medium-grade VSF +15% and high-end VSF +14%. In contrast, Lyocell is only up 4%. VSF prices drop c.4-9% w/w: The VSF operating rate dropped 300bps to 77%, impacted by maintenance of some Jiangsu-based...
by Sean Ungerer | May 28, 2021 | Forestry and Paper
Poland experiencing wave of new corrugated packaging capacity: This is on the back of significant growth in corrugated demand in Poland, with growth rates of 5-6% p.a., implying at least one new corrugator is required to start-up each year. Corrugated demand has...
