The domestic B&C Group has announced that it will relinquish its majority stake in Lenzing to the Brazilian pulp group Suzano. As a result of the transaction, Suzano will acquire a 15 percent stake for EUR 230 million, with the option to acquire an additional 15 percent stake by the end of 2028. This will decrease B&C’s ownership in Lenzing from 52.25 to 37.25 percent.
Following the transaction, B&C and Suzano will collaborate to form a long-term Lenzing shareholder syndicate, with B&C maintaining control within the syndicate. Suzano, which is the world’s largest pulp producer, is paying EUR 39.70 per Lenzing share, which is higher than the current stock market price of EUR 32.20.
The B&C Group had previously stated its intention to seek strategic partners for its core holdings in Lenzing, Semperit, and AMAG in order to reduce its ownership below the 50 percent threshold. The involvement of Suzano in Lenzing is seen as a positive development, with both companies working together to enhance the competitiveness of Lenzing’s business model.
In related news, former Lenzing CEO Stefan Doboczky has been appointed as the head of OMV’s chemical subsidiary Borealis, starting on July 1st. Doboczky’s appointment comes after his tenure at Lenzing from 2015 to 2021. His predecessor Thomas Gangl will be transitioning to lead the European business of Liberty Steel.
In conclusion, this transaction marks a significant step forward for both companies and their shared vision for enhancing their competitiveness in the global marketplace through collaboration and strategic partnerships.
