By: The Working Forest Staff
Canfor’s Swedish subsidiary, Vida Group, has completed a purchase of three sawmills in the Scandanavian country.
The company confirmed the acquisition in a brief notice issued Tuesday.
It follows on a June 17 announcement that Vida entered an agreement to buy the mills for $43 million plus working capital.
Purchased from Bergs Timber, they are located in Vimmerby, Mrlunda, and Orrefors, Sweden, and will add about 215 million board feet to Vida’s annual capacity.
With additional investment, Vida anticipates the production capacity of the mills can be increased to 300 million board feet, Canfor said in the June statement.
After taking into account this additional production capacity, Canfor said Sweden represents 22 percent of the company’s production capacity, plus 43 percent in British Columbia, 31 percent in the southern United States, and four percent in Alberta.
Canfor has a 70-per-cent stake in Vida Group, the company said.