Grigeo AB plans to become Grigeo Group AB

Grigeo AB plans to become Grigeo Group AB

2024 04 03

In May, the name of Grigeo AB is planned to be changed to Grigeo Group AB. The company will retain centralized supervision and control of the Group's financial accounting and business analytics, personnel management, legal services, IT supervision, procurement, and other service functions of the Group's companies.

This decision was made to ensure more efficient management and development of the businesses of the Grigeo Group AB. It is planned to divide the Group's activities by forming a new tissue paper segment in addition to the existing packaging and fiberboard segments.

The current tissue paper business is being transferred to its subsidiary, Grigeo Tissue UAB as a bundle of assets, rights, and liabilities. It will be managed together with the tissue mill in Poland, which was acquired on March 28 of this year.

"Our business operates in a dynamic environment, and to be more efficient and competitive, we need to continuously respond to changing market needs. I believe that this structural step will significantly strengthen our position in tissue paper production and will allow us to ensure even more efficient operations," says Tomas Jozonis, CEO of Grigeo AB.

Hygienic paper production in Lithuania will continue to be carried out in Grigiškės, and the employees working there will not be affected by the structural changes. They will retain their seniority, holidays, and other benefits from their employer.

"We are committed to providing our employees with a safe, stable, and secure workplace, so when we implement any changes, we make sure that it does not cause them any stress and we inform them in advance," says T. Jozonis.

Only one clause of the employment contract will change - the name of the employer. The changes will also affect Grigeo Investicijų Valdymas UAB, which is changing its name to Grigeo Paper Packaging UAB.

"This is another step that shows we are growing, striving to be more flexible, recognizable, and bolder in international waters. Both the updated name and the structural changes to the business will help open wider opportunities for the new Grigeo Group AB as a whole," says T. Jozonis.

The Grigeo Group AB currently employs more than 1000 people. According to unaudited data, in 2023, the annual turnover of the Grigeo Group AB was EUR 195.4 million. The Group's EBITDA (earnings before interest, taxes, depreciation, and amortization) increased by EUR 17.6 million to EUR 38.9 million in 2023 compared to 2022. The net profit of the Grigeo Group AB in 2023 amounted to EUR 29.6 million, which is EUR 18.0 million more than in the same period in 2022.

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