Andy Preece was the merchant group’s executive general manager Australia, New Zealand and Asia (ANZA) prior to taking the role made vacant by the sacking of Price.

According to a statement from Paperlinx chairman Robert Kaye, Preece’s promotion was largely down to his strong performance in his former role and “in particular his role in turning around the Australian business”.

“He has proven capabilities to grow his businesses beyond the traditional commercial print sector as evidenced by successful diversified acquisitions in New Zealand during the last two years.

“Andy is well qualified to lead Paperlinx as the focus shifts towards scaling up our diversified businesses and tightening operational management across a more dynamic geographic footprint,” said Kaye.

Preece has 20 years' experience in the paper trade. He joined Paperlinx in 2001 and held a number of senior management roles across its Australian and New Zealand operations, before taking the helm at Paperlinx’s ANZA operations three years ago. His early career was spent in the UK carton industry.

While he will remain based in the ANZA region, Paperlinx said Preece would be required to spend “an appropriate amount of time” in Europe, where the firm is undertaking a review of its operations that could result in a “potential sale or restructure of part or all of the European operations”.

The group launched a 90-day strategic review of its European, Asian (excluding Australia and New Zealand) and Canadian operations with Deloitte and investment bank Moelis and Company last December. As a result it has already sold its Canadian operation, Spicers Canada.

According to Paperlinx’s announcement on Tuesday, Preece’s basic salary will be NZ$900,000 (£440,000) although it highlights that if the outcome of the strategic review results in his responsibilities being reduced, as the result of fewer Paperlinx businesses, then his contract allows for a corresponding reduction in salary.