SCA announced today (10 November) that it has delivered a binding offer to acquire the €1.25bn-turnover (£1.1bn) division for €1.32bn.

SCA chief executive Jan Johansson said: "The deal is a strategic fit and will strengthen our product offering and geographic reach in Europe. It also leads to substantial synergies.

However, Unite national officer, Steve Sibbald, said: "These are two of the biggest tissue producers in Europe and employ thousands of workers Europe-wide, most of them union members.

"It always makes me nervous when companies talk about synergies, which usually means consolidation and job losses."

According to SCA, the annual synergies are estimated at €125m, to be completed within three years after closing, while related costs are estimated at €130m.

Georgia-Pacific’s European tissue operations have approximately 5,000 employees and 15 production sites in seven countries.

The transaction will be subject to customary consultation with employee representatives and will also be subject to approval by relevant competition authorities.