The corporate logo for Canfor Corp. is shown in this undated handout photo. THE CANADIAN PRESS/Canfor Corp.

Canfor to buy 70 per cent stake in Swedish Vida Group for $580 million

The privately held company has nine sawmills in southern Sweden with an annual production capacity of 1.1 billion board feet.

Canfor Corp. has signed a deal to buy a 70 per cent stake in Swedish sawmill company Vida Group for about $580 million.

Under the agreement, the current owners of Vida will retain a 30 per cent interest and continue to manage the day-to-day business.

The privately held company has nine sawmills in southern Sweden with an annual production capacity of 1.1 billion board feet.

Vida also has nine value-added facilities that include premium packaging, modular housing, industrial products and energy.

Canfor says it expects to be able to finance the acquisition with cash and liquidity on hand, but will complete an extension and expansion of its existing operating and term loan facilities.

The deal is expected to close in the first quarter of next year.

Related: President of Canfor departs amid leadership changes

Related: United Steelworkers in B.C. Interior return strike vote

Companies in this story: (TSX:CFP)

The Canadian Press

Like us on Facebook and follow us on Twitter.

Just Posted

GALLERY: Remembrance Day around the Elk Valley

Despite the cold, locals gathered by the hundreds to pay their respects

Teck hosts Elk Valley water quality open house

Teck Resources held a water quality open house on Tuesday, October 29… Continue reading

Former Cairo, Egypt resident wins 2019 Elkford business awards

Ahmed El-Maddah of Elkford B.C. is a long way from Cairo, Egypt,… Continue reading

Local super-woman wins Sparwood Community Spirit Award

Karen Sheets has won the Sparwood Chamber’s Community Spirit Award for 2019.… Continue reading

Hosmer hosts first craft fair in approximately five years

On Saturday, November 2, the Hosmer Community Hall hosted a craft fair… Continue reading

VIDEO: Hong Kong police shoot protester, man set on fire

It was the second protester shot since the demonstrations began in early June

Sportsnet fires Don Cherry after negative comments about immigrants

Don Cherry had said immigrants don’t wear poppies like other Canadians do

Trudeau’s new cabinet: Gender parity because it’s 2019? Or due to competence?

Prime Minister Justin Trudeau will soon appoint his new cabinet

Canada among three G20 countries least likely to hit emissions targets

It says Canada, South Korea and Australia are the farthest off

Conservatives’ Scheer wants Trudeau to open Parliament Nov. 25

That’s five days after Justin Trudeau is scheduled to swear in a new cabinet

Last remaining Centurion tank from the Korean War makes its journey ‘home’ to B.C.

Tank arrives in B.C. the day before Remembrance Day after a more than 4,500-kilometre transfer

‘Your vehicle burns a lot of fuel:’ Victoria drivers wake up to angry notes

‘This handbill was left on your vehicle because your vehicle burns a lot of fuel,’ notes read

Canadians mark Remembrance Day this morning

This year exactly 101 years to the day after the end of the First World War

Devils strike early, hang on for 2-1 win over Canucks

Vancouver now 0-8-3 in last 11 games versus New Jersey

Most Read