Metsä Group’s Finnish sawmills will become part of the Group’s pulp industry Metsä Fibre in a group internal transaction. Until now, the sawmills have been part of the Group’s wood products industry Metsä Wood apart from the Svir sawmill in Russia which has already been part of Metsä Fibre. The transfer is expected to take place by the end of 2016.
The transfer is done to fully utilize the industrial synergies between pulp production and sawmilling. Use of wood raw material and logistics costs can be optimized even better than so far in a combined entity.
The transaction does not impact Metsä Group’s annual sales, operating result excluding non-recurring items or balance sheet ratios.
The transfer does not impact the amount of employees. Sawmills’ employees will move to Metsä Fibre’s payroll. Metsä Wood will act as Metsä Fibre’s sawn timber sales channel in the future.
Sawmills included in the transaction are Vilppula, Lappeenranta, Renko, Merikarvia, Kyrö and Eskola. Their combined annual sawn timber production is approximately 1,6 million cubic meters.
Source : metsafibre.com