SWEDEN -- Södra is divesting UAB SIWood in Lithuania to the German company Soernsen Group. The transfer will take place on 1 July.
SIWood is a subsidiary of the Södra Group that produces MDF products for walls and ceilings, architrave, window sills and window reveals. The company has annual production of 1 million m2 and its largest markets are the building materials trade in Sweden and Norway. Some 60 people are employed at the facility.
"On January 1st this year, we transferred Södra Wood Grimslöv to Soernsen Group and have since deepened our cooperation with the company. Today, Soernsen Group is one of our main suppliers, and its acquisition of SIWood will further strengthen our collaboration. With the takeover of SIWood, Soernsen will gain a competitive production model, resulting in greater delivery reliability and improved flexibility for us as a customer," said Jörgen Lindquist, Business Area President of Södra Wood.
The buyer is Soernsen Group, which was founded in 1945 and has several production sites in northern Germany, Estonia and Sweden. The company produces a broad range of mouldings; its standard assortment contains more than 3,000 items in various wood species and it delivers to countries worldwide. It has sales of EUR 70 million and 350 employees.
"The Soernsen Group is facing a strong increase in business activity this year. SIWood focuses on producing MDF mouldings and panels for the Scandinavian markets and has some spare capacity. Soernsen has a strong demand for MDF skirtings for Central Europe. SIWood, which will stand for Soernsen International Wood in the future, will soon present an expanded range of MDF products. In addition, pine products will be launched in the second half of 2017," said Robert Soernsen, CEO of Soernsen Group.
"The Lithuanian staff stays highly motivated and is already enjoying the good cooperation between Södra and Soernsen," concluded Robert Soernsen.