Coveris announces agreement to sell Paper Business Unit

Vienna, 10.02.2026: Coveris GmbH (“Coveris” or “the Company”), one of the major European flexible  plastic and paper packaging manufacturers, have announced the agreement to sell its labels and board business (“Business Unit Paper”) to the US Private Equity company Kingswood Capital Management.

After the signing in January 2026, the deal is subject to customary completion undertakings and is expected to close within the first quarter of 2026, with the former Business Unit Paper operating as stand-alone entity  under its former name of Paragon Print and Packaging.

Christian Kolarik, Chief Executive Officer of Coveris: “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 our 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, the Company’s operations will consist of 17 flexible manufacturing facilities in EMEA and UK, with a sales volume of EUR 600m and a workforce of 2,500 employees. Paragon Print and Packaging will operate with a sales volume of EUR 270m and a workforce of 1,400 colleagues.

KPMG served as financial advisor, MP Corporate Finance served as M&A advisor, and Mayer Brown acted as legal advisors to Coveris Group.