Abris Capital Partners (“Abris”), the ESG transformation specialist private equity investor and B Corp, has signed a preliminary agreement to sell Velvet CARE, Poland’s leading manufacturer of paper-based personal care products, to Partners Group, a global private markets firm. The transaction is subject to European clearance.

Headquartered in Klucze, Poland, Velvet CARE manufactures paper hygiene products including tissues, toilet paper and kitchen paper towels, and is the owner of the highly regarded Velvet brand in Poland. The company was established in 2013 but its origins date to 1897, including a period of 17 years under the ownership of International Paper and Kimberly Clark.

Abris, who you can meet at the Poland-CEE Private Equity Conference 2024, acquired a majority stake in Velvet CARE in 2018 from Avallon, a Polish private equity fund. During Abris’ investment, Velvet CARE has grown sales by 2.5 times and EBITDA by more than five times, and expanded its export business fivefold, significantly exceeding the original investment case in terms of financial results and strategic development. In 2020, the company completed the add-on acquisition of Moracell, the largest manufacturer of paper hygiene products in the Czech Republic.

Thanks to a comprehensive ESG programme, Velvet CARE received B Corp certification – the most prestigious, globally recognised ESG accreditation for businesses that demonstrate the highest standards of social and environmental performance, transparency and accountability – in 2023. The company also received a gold medal from Ecovadis, an independent sustainability rating agency.

Tomasz Kujawa, an Investment Director at Abris, commented:

“We are delighted to have had such a successful partnership with Velvet CARE’s management team, supporting the company’s expansion in Central Europe and beyond. During our investment, we have focused on transforming the business into a leading regional, vertically integrated player, capitalising on the growing demand for personal care and hygiene products, as well as expanding the company’s export business, tapping into neighbouring markets, and integrating the highest ESG standards based on our ESG value creation methodology.”

Shortly after Abris acquired the Velvet brand, Velvet CARE completed a major capital expenditure programme, adding to its facilities one of the most modern tissue paper machines in Central Europe, which substantially increased its production capacity. Abris partnered with the company’s management to drive organic growth, while seeking to acquire other attractive tissue businesses in the region. 

After the Moracell acquisition, which brought to the group a modern conversion machinery park, infrastructure and an established team in the Czech and Slovakian markets, Velvet CARE subsequently invested in another new tissue paper machine to further expand its production capacities and reinforce its position as Central Europe’s market leader.

Get the week’s top news delivered directly to your inbox – Sign up for our newsletter

Today, Velvet CARE has more than 850 employees based at its manufacturing facilities in Klucze and Zabcice, and at its commercial office in Warsaw. Its products are now sold in 30 countries.


Artur Pielak, CEO of Velvet CARE, comments:
“Our close working relationship with Abris over the past five years has allowed us to significantly strengthen our market position. During this time Velvet CARE has grown stronger, going far beyond our initial ambitions. The management team and I can’t wait to begin working with Partners Group and continuing our mission of building a European leader in this sector. This is yet another era of new possibilities for us and we plan to accelerate our growth, actively participating in the further consolidation of the paper market and seeking opportunities to expand, within Central Europe and beyond.”


Milorad Andelic, Member of Management, Private Equity Goods & Products Industry Vertical, Partners Group, added:
“Velvet CARE’s extensive offering of staple products give the Company resilience and cash flow stability during macroeconomic slowdowns. At the same time, Velvet CARE’s markets have strong, long-term tailwinds, with rising incomes driving demand for both premium and value products. Our value creation plan will focus on strengthening the Company’s existing position while continuing to expand into other major European markets.”


Source: Press Release

Can’t stop reading? Read more