Spanish recycled paper manufacturing company Saica Group has announced signing a new agreement to acquire a 100% stake in Ecovidal-Miguel Vidal e Hijos.

The companies have not disclosed the financial details and other terms of this transaction.

The deal is expected to further strengthen Saica Natur’s footprint in the Henares corridor, located in the north-east of the Madrid region in Spain. Saica Natur is one of the four divisions of Saica Group.

The company said that this corridor is a crucial area, specifically in terms of business, industrial, and residential opportunities.

Located in Madrid’s Torrejón de Ardoz municipality, Ecovidal is a waste management and collection company, which was established in 1953.

The company has a warehouse spanning nearly 16,000m².

At present, Ecovidal is capable of managing up to 53,000 tonnes of waste, mostly comprising paper and cardboard, every year.

It recorded a turnover of approximately €10m ($10.81m) in 2022 and currently has a total of 25 employees.

Saica Group said that it already has a longstanding business partnership with Ecovidal. The waste management and collection company has been providing recycled paper to Saica Paper's mills for more than 40 years.

Saica Group specialises in the production of recycled paper, mainly for corrugated board, and has a presence across the US, Luxembourg, Poland, Republic of Ireland, Turkey, France, Italy, Portugal, the Netherlands, and the UK.

As of 31 December 2022, Saica Group registered a consolidated turnover of €4.39bn.

Earlier in August this year, it signed an agreement to acquire a minority stake in Pacapime, a Belgian corrugated cardboard company.