Raute Corporation has received orders worth approximately Euro 31 million for the machinery and equipment from Kohila Vineer Ou, a company of Latvijas Finieris Group. The ordered machinery and equipment will be delivered to Estonia, for the expansion of the veneer mill in Kohila, near Tallinn, as the company said in the press release received by Lesprom Network.
The scope of delivery includes drying, composing, patching, scarf jointing, lay-up and pressing, sawing, grading, overlaying and by-product handling lines. The deliveries will commence in the autumn 2015 and plywood production in Kohila will start during the spring and summer 2016.
Through this investment, Latvijas Finieris will expand the veneer mill in Kohila for plywood manufacturing. The annual capacity of the mill will be 45,000 cubic meters high-quality birch plywood.
The present new deal worth Euro 31 million will improve Raute's profit outlook for 2015. Raute's net sales for the full year 2015 are expected to grow clearly and operating profit is anticipated to improve clearly from the year 2014. The company has previously estimated net sales to grow and operating profit to improve.
Raute is a technology and service company that operates worldwide. Raute’s customers are companies operating in the wood products industry that manufacture veneer, plywood and LVL (Laminated Veneer Lumber).