5~5~5~ Company history milestones

Company history milestones

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The company foundation. The oldest existing record dates back to the year 1872 when on the existing plot was the factory of Eduard Suchomel making wood parquet blocks and shoemakers' wooden pins - sprigs. Over the years both owners and production kept changing. In the war years the production was adapted for the contemporary requirements or restricted.
PAPCEL, Repair Shop, National Enterprise, Litovel, was established by the Regulation No. 421 of the then Ministry of Industry dated on December 31st, 1949, in the premises of the former Moravia National Enterprise manufacturing accessories to stoves and cookers. In the autumn of 1949 the Moravia enterprise was handed over to the Lukavice paper mills (Lukavice paper miIls, National enterprise, Mechanical maintenance of Litovel plant). Back then, the workshops in Litovel remained obsolete and without machinery, only with unskilled workers and almost no mechanical engineers. On January 1st, 1950, Papcel, Repair Shop, National Enterprise, Litovel, was established.


Company privatisation and formation of the private company fully owned by the Dostal family. At that time the company production was limited to the machinery with yearly capacities up to 30.000 tons at paper machine width up to 2.500 m and speed up to 300 mpm.
The sales were limited almost exclusively in the domestic Czechoslovak/Czech and Slovak markets. Back then, the company structure was centralised, more or less without foreign trade and export.
In the year of 1998 the company name was changed to PAPCEL, a.s., Litovel.


The first period of foreign trade and export activities development. In 2003, the subsidiary in Russia was established to start and support sales in the Russian speaking countries. The first implemented projects focused on minor stock preparation line refurbishments.

The company gradually extended its activities beyond Central Europe and began to build-up the foreign network of sales representatives. Most of the orders in those days were minor deliveries of stock preparation lines and deliveries of rolls.


The company exports were still more significantly oriented to the Russian markets. The first “green-field” project (construction of a completely new paper mill producing decor paper in Russia) was implemented with export credit financing.

In those days, the company already had strong references in Eastern European markets, above all with the Russian groups OOO Nikol-Pack and OAO Mayak. The sales network had already been built in Central Europe and gradually spread to the markets of Latin America. Thanks to the new sales representatives the first references outside Europe had been gained. The international business began to develop. Expansion of sales representation also in Asia, particularly in China and Indonesia.


The very first implemented PAPCEL acqiusition - purchase of the majority shares in the Czech-Swiss engineering company Erma Elan Engineering. Initiation of own design services, extending the sub-suppliers' network, implementing more advanced deliveries including electro parts and control systems. Specialists in project management, civil construction works, electro, etc. joined the company team.


The establishment of the subsidiary in Belarus - developing activities in further Russian-speaking countries, new projects for complete paper machine refurbishments in Lithuania and Belarus. At that time PAPCEL had already established itself as the supplier of complete paper machines, not only stock preparation lines.

In the year 2010, the first contract for construction of a complete paper mill including relocation of complete used machinery was signed in Russia.

PAPCEL became the general contractor of the “turn-key” project. The first shoe-press installed, the first film-presses delivered. The sales markets included Poland, Turkey, Egypt, Ecuador, Indonesia and others.


The acquisition of the company IFM Olšany - PAPCEL purchased the majority share of IFM and thus extended the product portfolio, offering systems for preparing, dosing and storing auxiliary papermaking chemical agents.

Initiation of starch or adhesive dosing equipment deliveries. Auxiliary equipment for film- and size-presses was added to the production programme. A reference in the multinational MONDI papermaking group had been gained. Through the companies VEGA-HSH and PM Holding a significant Czech investment has been carried out in the company Angren Pack, Uzbekistan (share ownership in the paper mill producing fluting and liner, cartonboards, cut-out boxes, toilet tissue and gypsum board) and thus expanding the Group portfolio, having its own independent paper production.


Purchase of the Gorostidi technology and registered trademarks. Expanding product portfolio, new advanced solutions such as high-capacity formers, paper coating systems, etc. Taking over the Gorostidi customers in Latin America, following up with the installations in West Europe.
Conclusion of the greatest contract in the company history exceeding 69 million EUR - construction of a complete new paper mill for decor paper in Belarus. PAPCEL Group acting as a supplier of complete paper mill and a regular partner of Czech banks.


The company VEGA-HSH became the majority owner of PAPCEL. PAPCEL established a subsidiary in India called PAPCEL Pulp and Paper Technology Private Ltd. and employed the first foreign employees outside the Russian Federation, which previously belonged to the main market of the company. At the end of 2014, PAPCEL Group acquired the French company ABK Machinery and established ABK Groupe, increased the number of employees up to 450, took over the specialists from ABK Italy and entered the strong markets of China and other Asian countries where ABK had been settled. Entering the market with deliveries of tissue machinery, managing divisions of automation and ventilation.


Continuing acquisitions in the countries of Western Europe. Worldwide export, sales agencies network in more than 20 countries all over the world, independently managed subsidiaries. Deliveries of the papermaking machinery and equipment with capacity of 180.000 tpy, managing contracts exceeding 50 million EUR. The first significant reference in India - a contract with NEPA Group for a paper machine rebuild. The first project of a complete tissue mill for a customer in the Middle East. The company already has more than 100 reference projects.

In 2016, PAPCEL commissioned a completely new paper mill for production of decor paper in Belarus. The order backlog of the Group stands at the level of 74 mio. EUR and the revenues reach historical levels, exceeding 55 mio. EUR. At the end of 2016, the acquisition of the company GapCon tissue S.r.l., Italy took place.

Since 2016, the investment fund Bohemia Industry owns 50 % of the shares, the remaining 50 % is owned by Mr. David Dostál. At the end of 2016, the PAPCEL took over and acquired a new member, the Italian company GapCon tissue S.r.l. and in April 2017, the acquisition of the Italian company PMT Italia S.p.A. was carried out.