Metsä Tissue Secures Financing for Two New Tissue Machines in Poland

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Metsä Tissue, Espoo, Finland, reports that it has signed a new credit agreement with Sumitomo Mitsui Banking Corp. of Japan that will go towards financing the purchase and construction of two new tissue machines in Krapkowice, Poland. The credit agreement is split into two tranches totaling near EUR 37.0 million, with maturities of approximately nine and eleven years.

This past April 20, the company announced a three-year, EUR 55 million investment program in Poland, to develop the Krapkowice mill into a state-of-the-art production facility. The program includes the two new paper machines, related assets and infrastructure, as well as a smaller rebuild of PM 6 at Krapkowice. Two old machines—PM 11 at Konstancin-Jeziorna close to Warsaw and PM 5 at Krapkowice—will be closed.

The investment program at Krapkowice will increase net tissue base paper capacity by some 35,000 metric tpy in Poland. Additionally, a new away-from-home converting line will be installed and a new rental converting and warehousing building will be constructed. The move from the old warehouses to one efficient unit will further improve the efficiency of goods handling and delivery service.

Paper machines and related infrastructure will be supplied by Voith Paper.