Esselte has signed a strategic alliance agreement with Belfast-based paper company, Victor Stationery.
The companies have joined forces to utilise their combined paper manufacturing and distribution capabilities across Northern Europe and the Baltics.
Odd Erik Wølner, Esselte’s regional VP of Northern Europe and Bo Nyman of Victor Stationery told OPI Executive Briefing: "Going forward, Victor will concentrate on manufacturing and Esselte will continue to market and sell the products. Victor can take advantage of the strength of the Esselte brand and its selling capabilities while Victor’s modern production facilities in Estonia will be of great benefit to Esselte."
The two parties see significant growth opportunities by teaming up. A major task will be to introduce more value added products that over time will enable both companies and their customers to increase the total business volume of a mature product category.
Esselte will close its existing production facilities in Sweden and move the machinery to Victor’s plants in Estonia.
"The closure is expected to take place at the very latest early next year. Production is currently taking place at both factories in order to have a smooth transition. By combining the volumes from Esselte with the current volumes of Victor, together we will achieve a better utilisation of the equipment and some economies of scale as well."
Victor Stationery will also develop a new range of products for Esselte, including environmentally-friendly products.
"All standard pads will be Swan marked with value added products including various Victor and Esselte developed spiral pads, book-bound glossy products, and newly developed hard cover pads containing calculator. We see the introduction of value added paper pads with the same family design and look to be a natural extension to the existing ranges."