Coveris Announces Sale of Its Labels and Cartonboard Business

Coveris, one of Europe’s leading manufacturers of flexible plastic and paper packaging, has signed an agreement to sell its Labels and Cartonboard division (“Business Unit Paper”) to the U.S.-based private equity firm Kingswood Capital Management.

Following the signing of the agreement in January 2026, the transaction remains subject to customary closing conditions. Completion is expected in the first quarter of 2026. Upon closing, the current Business Unit Paper will operate as an independent company under its former name, Paragon Print and Packaging.

Sharpened Focus on Core Flexible Packaging Operations

“Since its establishment in 2020, Coveris’ Business Unit Paper has delivered consistent and highly successful growth. We are proud of the results achieved,” said Christian Kolarik, Chief Executive Officer of Coveris. “In light of this positive growth trajectory and the division’s current level of maturity, management and our shareholder Sun Capital have jointly decided to divest the business. This step enables us to focus fully on our EMEA flexible packaging operations, while we are confident that the Paper business will continue to thrive under new ownership.”

Upon completion of the transaction, Coveris will operate 17 production sites for flexible packaging across Europe, the Middle East and Africa (EMEA), including the United Kingdom. The company will employ approximately 2,500 people and generate revenues of around €600 million. Paragon Print and Packaging will enter the market as an independent business with roughly 1,400 employees and annual revenues of approximately €270 million.