Suzano acquires minority stake in Lenzing from B&C

Lenzing, the Austrian cellulosic fibres specialist, is to be part-owned by Brazil’s Suzano, which is acquiring a 15% stake in Lenzing AG from B&C Group.

The companies said Suzano has “entered into a long-term partnership with B&C with respect to its majority stake in Lenzing AG”.

Under the terms of the agreement, Suzano will acquire the minority stake and the two shareholders “will form a long-term syndicate, which will hold 52.25% in the company”.

It means B&C’s direct stake will now be 37.25% and it will retain its role as the controlling member of the new syndicate.

The price per share will be €39.70, with a total acquisition purchase price of €230 million to be fully paid at closing.

As part of the deal, Suzano also has the option to acquire an additional 15% stake from B&C until the end of 2028. The agreement also stipulates that B&C “will remain a committed long-term shareholder in the company”.

Suzano is the world’s largest market pulp producer with an annual net revenue of more than €7 billion in 2023.

It said it has a “long-standing track record of both operational excellence and commitment to sustainability at all stages of its processes, expertise that will complement Lenzing’s existing business model”.