Austrian packaging manufacturer Frantschach (A-1030 Vienna; www.frantschach.com) is to be merged into newly created Mondi Packaging (A-1030 Vienna; www.mondipackaging.com) as part of the restructuring of the Mondi group (Johannesburg 2107; www.mondi.co.za), which belongs to South African mining and raw materials giant Anglo American.

The headquarters of Mondi Packaging, with a workforce of 14,000 and turnover of EUR 2.6 bn, will move from London to Vienna. Anglo American has owned a significant stake in Frantschach since 1992 and acquired 100% of the company in April 2004. The integrated packaging group will produce at 124 plants worldwide, with the largest units in Austria, Germany, the UK and Poland.

Mondi Packaging and Mondi Business Paper were formed in a reorganisation of the group in November. Following the integration, the Frantschach name will disappear, and Mondi Packaging CEO Peter J. Oswald will take over running of Frantschach from former CEO Veit Sorger, who will retain a number of supervisory board positions.