Thai Containers Group (TCG), a joint venture of SCG Paper and Rengo, has completed the acquisition of 90% stake in Indonesia-based PT Primacorr Mandiri in a deal worth THB395m ($12.4m).
The existing shareholders will hold the remaining 10% stake.
SCG focuses on two strategic chains including packaging chain and fibrous chain and the latest investment in Primacorr by TCG is in the packaging chain.
The latest deal will increase TCG’s total production capacity from the existing 976,000t per year to 1,013,000t per year in ASEAN base, which includes Thailand, Malaysia, Singapore, Vietnam, and Indonesia.
Primacorr’s plant situated in Tangerang city produces corrugated containers with a combined capacity of about 37,000t annually.