Coveris sells Business Unit Paper to focus on EMEA region
Key takeaways
- Coveris is selling its paper labels and board unit to Kingswood Capital, with the deal set to close in Q1 2026.
- The move sharpens Coveris’ focus on its core EMEA flexible packaging business.
- Post-sale, Coveris will retain 17 sites, while Paragon will operate separately.
Christian Kolarik, CEO at Coveris.Coveris is selling its labels and board business (Business Unit Paper) to the US private equity firm Kingswood Capital Management.
The deal was signed in January, is subject to customary completion undertakings, and is expected to close within the first quarter of 2026. The former Business Unit Paper operated as a stand-alone entity under its previous name, Paragon Print and Packaging.
The deal amount has not been disclosed, Coveris tells Packaging Insights.
Christian Kolarik, CEO at Coveris, says: “Since its establishment in 2020, the Paper Business Unit has been consistently and successfully developed.”
“We are proud of the achieved performance and its current level of maturity led to the joint decision by Sun Capital and management to divest the business, allowing a clear strategic focus on core EMEA flexible packaging activities. We are confident that the Paper Business is well-positioned for continued growth under new ownership.”
Upon the closing of the deal, Coveris says its operations will consist of 17 flexible manufacturing facilities in EMEA and the UK, with a sales volume of €600 million (~US$715 million) and a workforce of 2500 employees. Paragon Print and Packaging will reportedly operate with a sales volume of €270 million (~US$322 million) and 1400 colleagues.
