Mayr-Melnhof Karton AG (VIE:MMK)
Intro Mayr-Melnhof Karton (MMK) is a leading global manufacturer of cartonboard and folding cartons active in 33 countries with around 15,000 employees. MMK operates in three divisions: Pharma & Healthcare Packaging, Food & Premium Packaging and Board & Paper. The company promotes sustainable development through innovative, recyclable packaging and paper products. MMK has been listed on the Vienna Stock Exchange since 1994 and is still controlled by core shareholder families, who own roughly 58% of the share capital. The remaining 42% is free float. Valuation Especially in 2021 to 2023, Mayr-Melnhof has been very active in buying other companies (for example Essentra Packaging) or incurring large investment programs (for instance currently at its paper mill in Kwidzyn in Poland). Through these activities, net debt has increased from around €200 million in 2019/2020 to more than €1.2 billion in 2023. Leverage ratios have also increased and ought to be reduced in the com...