Purex and Treasures head for ASX
Asaleo Care, which manufactures some of New Zealand's most popular personal hygiene brands, is listing on the Australian stock exchange.
The company, formerly known as SCA Hygiene Australasia, produces the biggest-selling toilet paper brand in New Zealand, Purex, as well as the second-biggest nappies brand, Treasures.
Asaleo has two factories in New Zealand, including the Kawerau facility that employs 209 people.
The factory has an annual capacity of 62,600 tonnes of paper on converting and folder machines, producing Purex, Handee, Deeko and Tork paper products.
The company will close its tissue converting factory in Hamilton and consolidate its tissue manufacturing at Kawerau.
The Hamilton factory employs 39 people and produces 135 million nappies and 2700 tonnes of serviettes a year. Asaleo is also closing its Tauranga distribution centre as part of a capital investment programme focused on upgrading the Kawerau facility, the company's second-largest manufacturing site.
This has seen A$47.1 million invested so far and a further A$3.3m planned for this financial year.
The project includes constructing a new converting hall, storage area and dispatch facility and reconfiguring the manufacturing layout.
New Zealand and Fiji account for about 27 per cent of Asaleo's sales, with the remaining 73 per cent in Australia.