The agreement to acquire 100% of Metsä Group’s Russian assets was signed on April 26 in St. Petersburg. Earlier, the Government Commission and the Antimonopoly Service of the Russian Federation approved this transaction.
The rental base, logging operations and sawmill are located in the Podporozhsky district of the Leningrad region.
The acquisition will strengthen the Group’s position on international markets, increase production of high quality dry sawn timber up to 900 thousand m3 per year, as well as increase the raw material base by 500 thousand m3 of estimated annual cut. A total of 270 people were employed at the enterprises.
“We have no doubt that the respected Finnish concern made the right decision, taking into account our long-standing partnership relations, long-standing reputation, high culture and efficiency of the enterprises of VLP, – said the Chairman of the Board of Directors of JSC ‘VLP Group of Companies’ Alexander Churkin. – We are well aware of the best production practices, constructive attitude with the region and thrifty attitude to forest resources, painstakingly created by Metsä Group at the enterprise at the level of world benchmarks, and we will try to carefully integrate them into our structure. And we are also ready to consider with pleasure the return of the well-coordinated team of the plant, the production of which was mothballed in 2022”.
