Ahlstrom's sees more costs, less savings from Munksjo spin-off
HELSINKI May 13 (Reuters) - Finnish paper firm Ahlstrom said a planned spin-off of its label and processing unit would require more spending and yield lower savings than initially expected, due to steps aimed at addressing regulators' monopoly concerns.
Ahlstrom, which plans to spin off the unit and combine it with privately held Munksjo, said it plans to sell its abrasive backings and pre-impregnated decor paper businesses to a third party in response to demands by the European Commission.
Ahlstrom said costs related to the latest plan meant the spin-off will yield 20-25 million euros ($26-32 million) in annual savings rather than 25-30 million it expected earlier. ($1 = 0.7709 euros) (Reporting by Ritsuko Ando)