Cleanzine: your weekly cleaning and hygiene industry newsletter 10th July 2025 Issue no. 1170
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Sofidel finalises acquisition of Royal Paper's US assets, strengthening its position in North American Market
Lucca, Italy-based Sofidel has finalised the acquisition of the assets of Royal Interco, (Royal Paper) - a recognised player in the US in both the at-home and away-from-home segments.
Sofidel had announced on 9th April that it had entered into an Asset Purchase Agreement based on a stalking horse bid and now says that all necessary approval and closing procedures have been completed and satisfied.
Three facilities in Arizona - the paper mill in Gila Bend (with an annual production capacity of 61,000 metric tons) and two converting facilities in Phoenix - and one converting facility in Duncan, South Carolina, officially become part of Sofidel's production footprint.
"This is another important milestone in our growth journey in North America," says Luigi Lazzareschi, CEO of Sofidel.
"The location of these production assets - particularly the three facilities in Arizona - allows us to significantly strengthen our presence in the western United States. This enhances our ability to serve customers and improves our efficiency by reducing delivery times and optimising logistics."
Steve Schoembs, CEO of Royal Paper, says: "The Royal Paper team and its 35 years of paper manufacturing experience in the US market is excited to join the Sofidel family to serve its customers and consumers more completely."
Importantly, Sofidel also plans to offer employment to a significant portion of Royal Paper's workforce, helping ensure continuity and laying the foundation for future growth together.
With this acquisition, Sofidel now operates a total of 15 facilities in the US, a market that represents 50% of the Group's total revenue.
Meanwhile, two production expansion projects are progressing in the US: one at the Duluth paper mill in Minnesota, where buildings are under construction to house new converting lines and an automated warehouse; and one in Circleville, Ohio, where a new paper machine - the third at the facility - with a capacity of 70,000 metric tons, will be activated.
With four new facilities, Sofidel further strengthens its production footprint in the North American market, which today accounts for 50% of the Group's total revenue.
Established in 1966, Sofidel Group is active in 13 countries, 12 in Europe and the US (13 States following the Royal Paper's assets acquisition), with over 9,000 employees and a production capacity of 1,913,000 metric tons per year (following the Royal Paper's assets acquisition). In 2024, the Group had Net Sales of 3.225 billion Euros.
19th June 2025