Finnpap ceases joint marketing and turns into UPM-Kymmene subsdiary

Archive 10.1.1997 0:00 EET

The Finnish paper marketing association, Finnpap, ceased operating as a joint paper marketing organization at the end of 1996.
Finnpap turned into a limited company at the beginning of January, whereupon UPM-Kymmene bought Metsä-Serla's and Myllykoski's holdings in the new company.
Finnpap Ltd. will continue chiefly in a technical capacity as a subsidiary of UPM-Kymmene, managing the collection of some outstanding accounts. Several shareholdings in UPM-Kymmene's sales and service companies will also remain in Finnpap's name. The value of Finnpap Ltd's assets is some FIM 200 million.
Finnpap was founded in 1918 to handle the joint marketing of Finnish paper. During 1996, the responsibility for paper sales was transferred to the member companies as the European Commission required cessation of joint marketing in conjuction with the merger of Repola/United Paper Mills and Kymmene.