25 September 2019 by Steve Eminton

Northwood buys tissue mills in UK and Spain

Northwood, a UK family-owned tissue production and supply and recycling business, has expanded with acquisitions in England and Spain.

The company, thought now to be the second largest UK supplier of away from home (AFH) tissue products, recycles more than 55,000 tonnes a year of tissue-making grades – largely comprising office papers.

Northwood already owned two tissue mills, one in Lancaster and the other in Disley, Cheshire, and a deal earlier this month has seen it acquire the Chesterfield tissue mill through the purchase of the trade and assets of the Sidcot Group.

Part of the Northwood range

In Spain, it has also this month acquired the trade and assets of Dicepa Papalera in Enate, north east Spain. This includes a paper mill in Enate as well as converting operations in Madrid.

Northwood Recycling

Material for the new group mills will be provided by Northwood Recycling which already supplies paper to its Disley and Lancaster mills.

Northwood said that “This strategic move at this time of uncertainty underlines the importance of following our long-term goals and for the business to proceed on its growth plans. In spite of challenges of the Brexit process, our sector is interdependent regardless of borders.”

Spain

Giving more details about the Spanish operations, in a statement, the company said that the shareholders of Northwood “are pleased to announce that they have acquired the trade and assets of Dicepa Papelera in Enate, Spain as well as the trade and assets of the converting plant of Manipa.”

(Below: video of Northwood activities published earlier this year on Youtube, before the recent acquisitions)

Supply

The statement continued: “This brings additional recycled paper production and further increases the security supply for the converting papers needed by the Northwood Companies, as well as giving the wider Northwood Group fresh access to the markets in Spain and mainland Europe. For the paper mill in Enate additional opportunities for expanding its product portfolio will be pursued. Naturally, the Manipa operations will also be expanded and able to offer the wider range of products from the finished product portfolio of the Northwood Companies.”

Northwood has been a major client and UK Agent for Dicepa for more than 15 years. The businesses in Spain will, on completion of legal formalities, will operate under the names of: Northwood Dicepa for the activities in Enate and Northwood Manipa for the activities in Alcala, Madrid. Juan Mor will be general manager for Spain with the shareholders of Northwood – Paul, Marc and Adam Fecher, and Paul King – as directors and board members of the Spanish companies.

Sidcot

The UK deal for the Sidcot Group consists of the recycled tissue mill at Chesterfield and the converting operations of Matryx (paper products) , Techcel (folded products) and Negociar (trade and supply).

UK tissue material produced by Northwood

Recycled production

Northwood remarked that the Sidcot purchase from Nigel Samuel “brings additional valued recycled tissue production and converting capacity to the Northwood production platform. The shareholders welcome the directors, managers and staff based in Oldham and Chesterfield into to the Northwood family of companies.”

Paul Fecher, Northwood chairman, said: “I have known Nigel Samuel for over 20 years, and I am pleased we’ve been able to assist with his desired exit from the trade. Northwood was identified as the most suitable company able to acquire the activities and with the resources needed to conclude the purchase of all the trade and assets of the Sidcot Group in a short timeframe.

“We look forward to being able to offer our new colleagues in Oldham and Chesterfield a bright and secure future.”

Paul Fecher, Northwood chairman

“We look forward to being able to offer our new colleagues in Oldham and Chesterfield a bright and secure future as we further develop our vision of making Northwood the supplier of choice to the paper hygiene sector.”

And, Northwood added that the converting lines in Oldham are a “perfect complement” to the converting plants in Telford, Penygroes, Bromsgrove, Ilkeston, Lancaster, Birmingham and Madrid.

All personnel based in Oldham, the company said, will transfer over to the Northwood Hygiene Group and the Chesterfield personnel and business will start operating as Northwood Tissue (Chesterfield) Ltd. Naturally all day to day contacts will remain unchanged.

 

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