Finnish nonwoven producer Suominen Q4 sales up 7%

"As part of the renewal process, Suominen’s previous Nonwovens business unit was divided into two new business areas effective 1 January 2014: The Convenience business area focuses on serving customers that manufacture wiping products as well as travel and catering nonwovens, while the Care business area is concerned with customers that manufacture health-care and hygiene products. As of 1 January 2014, Convenience and Care business areas will be reported in Nonwovens segment, which is equal to the current Wiping segment.

"Strategic development programs involving our nonwovens business progressed as planned in the fourth quarter. The objectives of the programs are to harmonize and boost the efficiency of our delivery chain processes and to accelerate our product development.

"After the 2013 financial period ended, we reached an agreement with Ahlstrom on Suominen’s purchase of the Brazilian plant that was part of Ahlstrom’s previous Home and Personal business. The transaction gives Suominen a foothold in the South American markets, which offer exciting new growth opportunities.

"We will further reinforce our position as the leading manufacturer of nonwovens for wiping products, as once the transaction is concluded, presumably by the end of February, Suominen will be the only company manufacturing nonwovens in Europe, North America and South America.

"This will enable us to serve our globally operating clientele better than ever before. The transaction is expected to be financed through a convertible hybrid bond, which will be treated as equity. Issuing of the hybrid bond requires the authorization of the Extraordinary General Meeting, which will be held on 31 January 2014.”

Suominen