INVESTMENT projects announced by cellulosic fibre specialist Lenzing will raise by 35’000 tons the group’s production capacity for speciality fibres. The planned investments totalling more than EUR 100m over the next 20 months will be concentrated on the Heilingenkreuz facility for Tencel fibre and on the home plant in Lenzing, Austria. Lenzing CEO Stefan Doboczky explained: “Given the strong market demand this expansion will help our customers in their growth plans as well as expanding our global market leadership position for speciality fibers.” As part of its new group strategy sCore TEN, Lenzing set the target of increasing the share of specialty fibers as a proportion of its total revenue to 50% by the year 2020. Specialty fibers currently account for 41.7% of revenue. Later, the group published its first half results, which showed higher revenue and earnings. Sales rose by 8.3 per cent to EUR 1.03bn and EBITDA was 54.3 per cent higher at EUR 195.1m.
The capacity expansion will strengthen yet further the company’s leadership in the field of speciality cellulosic fibres.
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