Reasons to invest in Metsä Board

1. Pure-play paperboard company

Metsä Board has gone through a substantial transformation process from a loss-making paper producer into a profitable paperboard company. Year 2017 was Metsä Board’s first full year as a pure-play paperboard company. Metsä Board’s main products are folding boxboard and white kraftliners,which are used especially in consumer goods packaging, retail-ready and food service applications. The pure fresh fibres Metsä Board uses are a renewable resource, 100% traceable to its origin in sustainably managed northern forests.

2. Strong market position

Metsä Board is a leading European producer of folding boxboard and white kraftliners. Metsä Board has established its strong market position in Europe with long-lasting customer relationships – especially with brand owners.

In the Americas, and especially in the USA, Metsä Board is among the biggest importers of folding boxboard and coated white-top kraftliner. Several factors support the growth in the Americas: 1) limited local availability of premium, lightweight folding boxboard 2) non-integrated converters looking for alternative suppliers in paperboards, and 3) strong demand in food service applications made from fresh fibre paperboards. The rise of discounters and growing e-commerce are increasing demand for high-end white kraftliners in Europe and in the Americas.

In the Asia-Pacific region, Metsä Board focuses on premium segments and aims for moderate growth, primarily in cooperation with brand owners.

3. Increased demand for sustainable packaging materials

Globalisation and urbanisation increase the mobility of goods and the use of package. At the same time, the requirements for packaging are increasing: the origin of materials, the recyclability of packaging and product safety particularly in food packaging, are becoming more important. The importance of resource efficiency is increasing, which is reflected in lifecycle and circular economy thinking. In addition, the EU Plastics Strategy and the planned restrictions on disposable plastic products challenge companies to develop alternative packaging materials that put less strain on the environment.

Metsä Board supports sustainability by reducing its use of raw materials, water and energy in its production. Product safety relies on using pure fresh fibre from sustainably managed forests. The company has been recognized several times by external parties for its sustainability performance.

Together with the customers, Metsä Board aims to develop, more environmentally friendly and efficient packaging solutions and use the potential of lightweight fresh fibre paperboards in an innovative way.
The company is also investigating and developing bio-based barrier solutions as well as their commercial potential.

4. Self-sufficiency in pulp

Metsä Board has self-sufficiency in pulp, which ensures both quality and availability in production. Both chemical softwood and hardwood pulp as well as mechanical pulp (BCTMP) are used in the production of Metsä Board’s paperboards. In addition to the company’s own pulp production, Metsä Board owns 24.9 per cent of its associated company, Metsä Fibre. Metsä Board’s total pulp balance is roughly 600,000 tonnes a year long. Excess volumes are sold to the market.

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