The initiative is part of a three-year programme to provide better customer service, maximise efficiencies and reduce the firm's environmental impact.
Significant cost savings will also be made, with currently outsourced logistics operations being brought in-house.
PaperlinX's UK and Ireland regional president Toby Marchant said the move would have three important structures: to improve customer service in the form of first-time deliveries; to allow investment in mobile technology; and to provide significant environmental gains.
"By doing this, in Bristol alone we will reduce our CO2 emissions by one tonne a day."
The company will be headed by current Robert Horne Group logistics director John Ball and controlled by a board comprising Marchant and the managing directors of Howard Smith Paper Group (Malcolm Lane-Ley), PaperCo (Alistair Gough), M6 Paper Group (Andrew Towle) and Robert Horne Group (Dave Allen).
The logistics company will be launched on 16 December this year.
PaperlinX plots top logistics firm
PaperlinX is to set up one of the UKs largest logistics companies, which will handle the warehousing and distribution of all four of its UK merchant companies.