CNG Buys Paper Operations
Purchase, N.Y.-based Central National-Gottesman, which is involved in private label products with its Lindenmeyr Book Publishing division, announced Monday that it was buying the U.S. paper operations of PaperlinX Limited.
The deal brings Spicers Paper Inc. and Kelly Paper Co. into the CNG group. Terms of the deal were not announced, but the deal is expected to close June 30. The combined sales for both companies was about $500 million last year, the company said in a news release.
“Spicers and Kelly are well-managed and respected businesses and we are thrilled to have the opportunity to acquire them,” CNG CEO Ken Wallach said in the release.
Spicers is headquartered in Santa Fe Springs, Calif., and is a major U.S. paper distributor with 12 warehouses in the West and Midwest.
Kelly Paper, headquartered in Industry, Calif., has a chain of paper stores, with 48 locations in four Western states.
The acquisition is CNG’s fifth paper merchant in three years, including four in the U.S.
“The Spicers and Kelly locations are a perfect complement to our 22 Lindenmeyr Munroe paper distribution facilities and stores,” in the East and Midwest, Wallach said.