Abris Capital Partners, Bucharest, Romania, a mid-market private equity fund for Central and Eastern Europe, is investing in the Pehart group of companies, creating the leading independent producer of tissue paper in Romania and Southeastern Europe. The transaction awaits clearance from the Romanian anti-monopoly authorities.

The Pehart group of companies has three production facilities where it makes tissue paper and converted products (toilet paper, kitchen towels, and napkins) under its own brands—Pufina and Alint. The group also produces private label products for several retailing groups. 

Following Abris’ investment, in combination with a contribution of Romanian State aid, a fourth production facility will be opened by the end of this year, increasing the total group production capacity of tissue paper jumbo rolls to approximately 100,000 metric tpy. The company currently exports most of its production to customers in Central and Southeastern Europe.

As part of the transaction, the European Bank for Reconstruction and Development (EBRD), currently a shareholder in one of the group companies (Pehart Tec SA), will entirely exit its stake. In 2009, the EBRD became a shareholder of Pehart Tec SA and injected capital to support the company's drive to increase its production of tissue products by offering a high-quality alternative to more expensive imports.