Moelven Industrier ASA, a subsidiary of Finnforest Corporation, is looking to buy Scandinvanian ARE-group, the sawmilling and wood products business, for an undisclosed sum.
ARE-group has five mills in Sweden and one in Norway and also runs its own distribution network for its products.
The sawmills have a total annual capacity of 350,000m3 and the further processed production capacity is 240,000m3 a year.
Employing around 300 people, ARE-group has a turnover of about €1m.
The transaction is due to be finalised in January and Moelven said it will strengthen its operations in both Norway and Sweden.
Moelven said it will be able to make good use of the whole chain of supply from wood procurement to basic production and improve distribution of further processed products throughout Scaandinavia.
When combined with ARE-group, Moelven’s turnover will rise to around €680m.
