Wednesday, March 22, 2017 11:15 am

HELSINKI, Finland -- UPM has signed an agreement on the sale of its hydro power facilities in Schongau and Ettringen, Germany to erdgas schwaben gmbh, a regional energy company, located in Augsburg.

The sale and purchase agreement is still subject to third party approvals. The parties have agreed not to disclose the purchase price. The transaction does not have an effect on the employees working at UPM Schongau and UPM Ettringen mills.

"erdgas schwaben is a deep-rooted energy company in Bavarian Swabia as well as a pioneer in power generation from renewable energy sources. As an integral part of an energy company the hydro power facilities could be better developed and optimized," says Rainer Häring, Director Energy, Western Europe, UPM Paper ENA.