(Reuters) – Britain’s DS Smith Plc SMDS.L said on Wednesday it would acquire a Romania-based paper and packaging business for an enterprise value of about 208 million euros ($244.6 million) to expand its Eastern European presence.

DS Smith, a maker of corrugated cardboard, recycled paper and plastic packaging, said family-owned EcoPack and EcoPaper’s packaging assets and a paper machine that specialises in light-weight paper would help boost growth and achieve cost synergies.

DS Smith will use existing cash and debt facilities to fund the deal, along with 35 million euros worth of its shares, the company said in a statement.

The transaction, expected to be closed in the third fiscal quarter, will add to earnings immediately, DS Smith said.

($1 = 0.8503 euros)