UPM Raflatac, Finland, a global supplier of self-adhesive label stock, has completed its acquisition of selected assets of the South African label stock distributor Labelcote, part of TIGER Packaging. The parties have agreed not to disclose the purchase price. The closing of the acquisition has been subject to South African regulatory approvals, which were obtained on July 12, 2016. 

UPM Raflatac will continue to operate the formerly Labelcote-owned slitting and distribution terminal in Johannesburg. The terminal will continue to operate with outsourced labor. 

TIGER Packaging, known by its trading name Labelcote, is a well-established South African business specializing in the slitting and distribution of pressure sensitive label stock and tag materials. Labelcote has been trading in the South African market for more than 20 years, originally as a partner for UPM Raflatac. Labelcote sells materials throughout South Africa with a physical presence in the Durban, Johannesburg, and Cape Town markets.

"UPM Raflatac has in recent years successfully grown with our label stock customers in Sub-Saharan Africa and South Africa. With this transaction, we further improve our service capability and can offer the full range of UPM Raflatac standard and specials products to even more customers in South Africa," said Lee Unsworth, area sales director, UPM Raflatac.

In addition to the new Johannesburg terminal, UPM Raflatac currently has sales and terminal operations in Pinetown (Durban area) and Cape Town in South Africa.