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Mayr-Melnhof

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Mayr-Melnhof Karton AG
Company typeAktiengesellschaft
ISINAT0000938204
IndustryPaper and packaging
Founded1950
HeadquartersVienna, Austria
Key people
Peter Oswald (CEO), Rainer Zellner (Chairman of the supervisory board)
ProductsPaperboard, cartons
Revenue€2 million (2020)[1]
€231.4 million (2020)[1]
€162.2 million (2020)[1]
Total assets€2,399.6 million (end 2020)[1]
Total equity€1,547.1 million (end 2020)[1]
Number of employees
9,938 (end 2020)[1]
Websitewww.mayr-melnhof.com

Mayr-Melnhof Karton AG is a manufacturer in the paper and packaging industry, based in Vienna, Austria. The company is 65% family owned, with the rest free-float, and is listed on the Vienna Stock Exchange (Wiener Börse).

Mayr-Melnhof packaging is a multi-national company with plants in Austria, Chile, Germany, France, the United Kingdom, Iran, Jordan, the Netherlands, Poland, Romania, Russia, Slovenia, Spain, Turkey, Tunisia, Ukraine, and Vietnam.[2] [3]

History

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Family Coat of arms of Barons Mayr von Melnhof in the Austro-Hungarian Empire (1872)

Origins

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The Mayr-Melnhof family hailed from Spielberg, Styria and was first mentioned in a written document from 1423. Industry owner, Franz Mayr (1810–1889) was ennobled in 1859 with the title "Edler of Melnhof". Since then the family was styled Mayr von Melnhof.

In 1872 Franz Mayr, Edler von Melnhof, received the hereditary title of Baron in Austria for him and his legitimate male-line descendants, by Franz Joseph I. The family owned town palaces in Graz and Vienna, as well as several other castles across Austria, such as Glanegg, Kogl, Neu-Pfannberg, Jagdschloss Hochalm, which served as their country residencies.[4][5][6] The most notable member of the family is Marianne, Princess of Sayn-Wittgenstein-Sayn, a German socialite and a professional photographer.

1950 to 1990s

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In 1950, industrial production of cardboard commenced with the introduction of the first cardboard machine at the main mill in Frohnleiten, Styria. By 1994, the Mayr-Melnhof Group transitioned into a stock corporation and was listed on the Vienna Stock Exchange. The initial offering was priced at ATS 500, approximately EUR 35.

Early 2000s

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In 2008, MM Packaging expanded its operations by acquiring 60% of Superpack, a Turkish folding cardboard manufacturer based in İzmir, which employed 120 people and operated two offset printing lines processing 8,000 tonnes of cardboard annually. However, the same year saw the closure of the Nikopol (Bulgaria) cardboard plant, incurring a liquidation cost of EUR 22.6 million.

In 2010, the Mayr-Melnhof Group (MM) closed its cartonboard mill in Deisswil near Stettlen, Switzerland, citing the emissions tax introduced in the country as the reason. However, the Department of the Environment, Transport, Energy and Communications (DETEC) countered this claim, noting that the mill had been exempted from the CO2 tax since it had committed to various CO2 reduction measures in 2008. Despite producing 112,000 tonnes of cardboard in 2009, MM considered the mill non-competitive. A plan was implemented for the 255 employees affected by the closure, as MM aimed to shift focus towards other more high-performance sites.

In mid-2013, MM Karton acquired the Folla CTMP mill in Norway from Södra,[7] which had been shut down in September 2012 due to unprofitability.[8] MM Karton resumed production at the mill to secure an autonomous raw material supply with semi-chemical pulps (CTMP and TMP) for its own cardboard production. A portion of the mill's annual capacity of 130,000 tonnes was also made available for free trade in the market.[9]

Over the last decade, the main plant in Frohnleiten, Styria, has seen significant investment totaling more than 150 million euros aimed at modernising and expanding its logistics. Notably, in 2014, approximately 50 million euros were invested in developing the ‘Foodboard’ cardboard, a sustainable product designed to replace plastic packaging in the food industry.

2020 to present day

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In August 2021, MM sold its cardboard mills in Baiersbronn, Germany, and Eerbeek, Netherlands, to the US financial investor Oaktree Capital Management. Additionally, at the beginning of August, the Mayr-Melnhof Group expanded its operations by acquiring the cardboard and paper mills in Kwidzyn, Poland, and Kotkamills, Finland.

In April 2022, MM further diversified its portfolio by acquiring the Nordic pharmaceutical packaging group Eson Pac, headquartered in Veddige, Sweden. This acquisition marked a strategic expansion into the pharmaceutical packaging sector.

In October of the same year, MM continued its expansion in this sector by acquiring Essentra Packaging, a British pharmaceutical folding cardboard producer, along with its US subsidiary.

In 2020, plans were announced to invest about 100 million euros in the Frohnleiten site, focusing not only on the modernisation of the two existing carton machines, KM2 and KM3—handled by Graz-based Andritz AG—but also on enhancing the site’s infrastructure and logistics. These upgrades included modernising the boiler house and wastewater treatment plant, as well as expanding parking areas for employees and delivery traffic. The conversion work was successfully completed by mid-2023. However, due to the economic impacts stemming from the Russian war against Ukraine, which led to a decline in global market demand, the plant had to temporarily reduce its production in the summer of 2023 and shut down its cardboard machines. This situation also necessitated a reduction in the short-term profit outlook, although the modernisation measures implemented remain intact.

MM Board & Paper Production Sites

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The production facilities of MM Board & Paper are distributed across several countries including the following key locations:

  • Austria:
    • Frohnleiten: This is the main plant, employing 570 workers.[10] It serves as a central hub for the company’s operations in Austria.
  • Germany:
    • Gernsbach
    • Neuss
  • Finland:
    • Kotkamills in Kotka: Acquired in 2021, this facility is one of the newer additions to MM Board & Paper's portfolio, enhancing the company’s production capabilities in the Nordic region.
  • Norway:
    • FollaCell A.S. in Follafoss: This site adds to the company's presence in Scandinavia.[9]
  • Poland:
    • Kwidzyn: Another acquisition in 2021, this plant produces both cardboard and paper, and is part of the expansion of MM Board & Paper’s operations into Eastern Europe.
  • Slovenia:
    • Kolicevo
      • Frohnleiten: This is the main plant, employing 570 workers. It serves as a central hub for the company’s operations in Austria.
    • United Kingdom:[11]
      • Bootle, Merseyside: The Bootle plant worked closely with companies including Kellogg Company[12]
      • Deeside, Wales: the operations at Deeside focus mainly upon food and tissue,[12] while manufacturing for companies including Georgia-Pacific and Unilever. Both UK plants run a weekday 3-shift system as well as a dedicated weekend crew. At both UK plants, the company runs mainly Bobst group machinery in the cut-and-crease and finishing department, the Bootle plant operates a fully automated end of line department. In the print department of both, machinery from Koenig & Bauer is used.

References

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  1. ^ a b c d e f "Annual Report 2020" (PDF). Mayr-Melnhof Karton. Retrieved 29 June 2021.
  2. ^ "MM Packaging - Location details". Archived from the original on 2012-03-08. Retrieved 2010-06-10.
  3. ^ "Contact - MM Board & Paper".
  4. ^ https://www.schlosskogl.at/
  5. ^ https://www.alleburgen.de/bd.php?id=23797
  6. ^ https://www.routeyou.com/de-at/location/view/50687913
  7. ^ "MM Karton Erweitert Rohstoffversorgung" [MM Cardboard Expands Raw Material Supply]. www.forstpraxis.de. Deutscher Landwirtschaftsverlag. 2013-06-11. Retrieved 2019-01-07.
  8. ^ "Södra: Zellstoffwerk Cell Folla wird geschlossen" [Södra: Cell Folla pulp mill to be closed]. Forstpraxis.de. Deutscher Landwirtschaftsverlag. 2012-09-03. Retrieved 2019-01-07.
  9. ^ a b "FollaCell". MM Board & Paper (in German). Retrieved 2024-08-29.
  10. ^ Haase, Claudia (2020-12-04). "100 Millionen Euro: Rekordinvestition: Mayr-Melnhof rüstet Frohnleiten massiv auf" [100 million euros: Record investment: Mayr-Melnhof massively upgrades Frohnleiten]. www.kleinezeitung.at (in German). Retrieved 2024-08-29.
  11. ^ "MM Packaging - Great Britain". Archived from the original on 2009-08-18.
  12. ^ a b "MM Packaging - Location details". Archived from the original on 2011-07-26.

Bootle plant closed in 2012 due to extended industrial action https://web.archive.org/web/20140202234224/http://www.mayr-melnhof.com/en/media-center/press-releases/newsdetails/450.html

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