On August 7, 2023, the Ponsse Group entered into a retail agreement with PacWest Machinery (hereinafter referred to as "PacWest") in the United States. Simultaneously, the companies signed a deed of sale, with Ponsse selling its service business operations in Coburg, Oregon, to PacWest. Under the agreement, PacWest will take over the responsibility for the sale and maintenance of PONSSE forest machines in the states of Oregon, Washington, and Idaho on the West Coast of the United States.

The transaction encompasses the service center in Coburg, owned by Ponsse North America, Inc, the US subsidiary of Ponsse. Existing employees at the Coburg service center will be offered employment with PacWest. The sale also includes the machine inventory, spare parts stock, and the associated premises. The transition of PONSSE services to PacWest's responsibility is scheduled to begin on September 1, 2023.

Despite the change in ownership, the local PONSSE services, including machine sales, maintenance, spare part services, and training, will continue without interruption.

The specific transaction price will not be disclosed by the companies, and it will have no impact on the measurement of Ponsse's value or its financial results.

According to Juho Nummela, President and CEO of Ponsse Plc, the collaboration with PacWest will bolster Ponsse's service offering, thanks to PacWest's extensive service business network.

The partnership with PacWest expands Ponsse's operational reach on the West Coast of the United States, opening up growth opportunities for the company in the country. PacWest's extensive network will bring Ponsse services closer to local customers, presenting considerable potential for the application of cut-to-length logging technology on the West Coast.

PONSSE forest machine models are based on the cut-to-length method, which utilizes wood raw material according to accurate measurements, resulting in a smaller environmental impact compared to the tree-length method. The advanced technology, operator ergonomics, and high work productivity further enhance the appeal of PONSSE equipment among forestry professionals.

PacWest Machinery operates as part of the Joshua Green Corporation, a private company established in the 1890s. In addition to being a dealer for Volvo and Metso in Oregon, Washington, and North Idaho, PacWest has sales and service centers in several locations.

Ponsse North America, Inc. is responsible for Ponsse's services in the United States, while the company also has subsidiaries in various other countries. Exporting constitutes 80% of Ponsse's production from its factory in Vieremä, Finland.


Source:ponsse.com

 

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