Irish Billionaire Denis O’Brien Takes Majority Stake in Whakatāne Mill
Irish billionaire Denis O’Brien has become the majority shareholder in Whakatāne Mill, a New Zealand paper packaging manufacturer. The investment provides a crucial lifeline for the mill, which was previously on the brink of closure, and follows a significant $128 million investment in upgrading equipment and technology.
A History of Financial Challenges and Revitalization
Whakatāne Mill faced potential closure before a consortium of investors stepped in with a rescue package in May 2021, saving approximately 200 jobs. The mill was acquired by Power Paperboard from SIG Euro Holding GMBH for $1 in cash, plus a $5.96 million working capital adjustment. At the time of purchase, net assets were valued at $119.17 million.
Since 2021, shareholders have collectively invested nearly $90 million in new equity and over $64.8 million in loans to support the business. In 2024, the mill reported an operating loss of $38.6 million, improving to a $28.6 million loss in 2025. The overall net loss decreased from $31.2 million in 2024 to $27 million in 2025.
O’Brien’s Investment and Background
Denis O’Brien, with an estimated net worth of US$3.1 billion according to Forbes (Forbes), is known for his involvement in various business sectors, most notably as the founder and chairman of Digicel Group. He previously held a prominent position in the Irish media landscape, with a long-standing rivalry with Sir Anthony O’Reilly over control of Independent News & Media.
O’Brien’s emergence as a majority shareholder follows a reduction in stakes held by the original consortium, which included London-based Dermot Smurfit and Ross George, founder of Direct Capital, along with Sir Michael Smurfit’s Bacchantes Ltd and Swiss investor Raymond Alan Dargan.
The Smurfit Family’s Expertise
The Smurfit family has a long history in the paper and packaging industry. Sir Michael Smurfit expanded the family business into Smurfit Kappa through a merger with Kappa Packaging. Dermot Smurfit has focused on investing in and operating individual paper and pulp mills, including the successful revitalization of the Cosmopolis dissolving-pulp mill in the US.
Recent Financial Performance and Future Outlook
Whakatāne Mill refinanced $85 million in banking facilities with BNZ last year and reported forecasts indicating improved financial performance and compliance with lending facilities through October 31, 2026. Despite continued challenging market conditions, the company has received strong support from both its lender and shareholders.
According to Jurway DAC, the only asset of Jurway is a loan receivable of €37.19m ($73.56m) (North Data).
Whakatāne Mill chief executive Ron Hooper was unavailable for comment on the mill’s progress and the ownership changes.