SWEDEN (News release) -- Holmen is investing SEK 450 million ($43.9 million) in rebuilding a paper machine at Braviken Paper Mill in Sweden.

Access to fossil-free electricity and local wood means that both Holmen's paper mills are in a strong position that enables continued development of existing products. This will also create opportunities to grow in new segments in the packaging area.

"In 2022, we launched a new corrugated board product, Holmen INNR, which has been well received by the market. Holmen's paper products have a low climate footprint and are lighter than traditional alternatives, making them resource efficient without compromising on strength, quality or overall feel," says Lars Lundin, Senior Vice President Paper.

Rebuilding PM52 at Braviken Paper Mill will broaden the product range for book paper while enabling Holmen to efficiently increase the production of fluting for use in the centre layer of corrugated boxes. The rebuild is planned for autumn 2024 with an estimated cost of SEK 450 million ($43.9 million).

"After this investment, we will be able to produce a fluting product that meets the quality requirements for demanding applications with less material consumption than established products. We will also be able to offer higher grammages of our book paper from Braviken Paper Mill," says Tommy Wiksand, Vice President Business Development Paper.

Holmen's business is built around the forest ecocycle and the renewable products we can create from it. Holmen's business areas are Forest, Wood Products, Paperboard, Paper and Renewable Energy.