Finnforest UK Ltd’s has begun the reorganisation of Montague L Meyer Ltd’s (MLM) softwood timber distribution and processing business following completion of its acquisition of the operation.
Finnforest will relocate softwood operations by May 17 from the sites at Barking, Southampton and Newport – which remain in MLM ownership.
Nearly 100 former MLM staff have been told of the risk of redundancies at , but 20 have already moved to Finnforest’s Tilbury site from Barking.
Meanwhile, machining capabilities will be reviewed at sites in Widnes and Hull where future Finnforest investment is planned.
Speaking on April 15 Finnforest UK managing director John Tong said: ‘It’s early days yet, but I have been very impressed with the positive start that has been made. I was at Tilbury this morning where former MLM employees were into their first day as part of the Finnforest team. Here and at the other sites, there was a real buzz and a proactive attitude that bodes well for the future growth of the combined businesses.’
Mr Tong said that Finnforest’s UK production facilities were approaching capacity and the MLM softwood arm purchase gave it the extra capacity it needed.
‘This will allow us to continue improving on a long term commitment to customers in the merchant, industrial and construction sectors.
‘In terms of our market penetration, this deal helps us particularly in the west and south east .’
The acquisition increases Finnforest UK’s turnover to around €380m (£239 million) the volume of its wood products deliveries to 1m m3.
