Wider product range - one supplier

Pyroll’s packaging business area is now stronger than ever. The company has become the major shareholder of KM-Yhtymä Oy. From now on the customers can get their packaging from one supplier. In the near future, the customers can expect optimized production, new solutions and an even wider product range.

The family enterprise Pyroll has acquired more than 90% of the shares of KM-Yhtymä Oy. The purpose of the acquisition was to strengthen Pyroll’s packaging business area. Pyroll produces packaging products from paper, paperboard and plastics in ten production units in Finland. The main printing methods used are flexography, sheet-fed offset and digital printing.

Synergy in the packaging business area

KM-Pakkaus and Pyroll mainly serve the same customers, which means that in the future these customers can get their packaging from one supplier. According to Pyroll’s CEO Hannu Vakkari, there is substantial synergy between the products of the two companies. This opens excellent opportunities to optimize production, develop new innovative solutions and offer an even wider product range.

KM-Yhtymä Oy reached a turnover of over 12 million euros in 2011. The company’s business units are KM-Pakkaus and Suomen Painotuote. KM-Pakkaus, located in Joensuu, produces dairy product packaging. The product range includes lids for yogurt and sour cream jars and spreadable butter packages and also butter wraps, ice cream cone wraps and other wraps. Products are sold in the domestic market and exported to the EU and Russia.

Suomen Painotuote produces printed matters using sheet-fed offset and digital printing. The product range includes brochures and leaflets, annual reports, product catalogues and office paper products. This unit also has a prepress department serving the packaging sector.

KM-Yhtymä Oy’s CEO Paavo Martikainen has joined Pyroll as the Director of Plastic Packaging and Lids. Pyroll’s plastic packaging units are located in Salo, Tervajoki and Merikarvia.

Pyroll was rated as the ideal byer

The initiative came from the major shareholder ItäMaito. In summer 2011, the co-operative launched a new strategic programme to improve its group structure and operations. As part of this process, ItäMaito began to look for a new owner for KM-Yhtymä Oy. The co-operative ItäMaito is owned by 2500 private milk producers in Eastern Finland, delivering annually more than 500 million litres of milk to be processed by Valio Ltd. Valio is the leading Finnish producer of dairy products. ItäMaito holds 26% of Valio’s shares.

Having considered the bid, Pyroll’s background and its strategy aims for KM-Yhtymä, the board of ItäMaito accepted Pyroll’s offer in April 2012. By early summer, Pyroll’s offer was accepted by shareholders representing over 90% of the stock. The considerations contributing to this decision were the company’s Finnish origin, its status as a family enterprise and sufficient resources to improve the operations and profitability of KM-Yhtymä.