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.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Aldergrove Girl Guides feel ‘lucky’ that FreshCo is selling their cookies

FreshCo currently selling 1,800 boxes of the popular sweets to help support the group amid COVID-19

Alder Grove Heritage Society is on a hunt for local memories and memorabilia

‘If we don’t share those stories they will be forgotten’ urges society president Tami Quiring

PHOTOS: Langley homebuilders nominated for 2020 HAVAN Awards

Categories range from extensive kitchen renovation projects to ‘Best Townhome’ designs

Langley chamber goes online for virtual conference

A meeting about HR and the coronavirus will be held via Zoom

B.C. couple celebrates 61st anniversary through seniors’ home window

Frank and Rena Phillips marked occasion at Nanaimo Seniors Village this week while social distancing

A look at some of the B.C. inventors creating life-saving tools in fight against COVID-19

Groups across B.C. are working together to create what they hope will help people affected by the pandemic

Association launches French-language games, online tools for families learning at home

Games, culture and vocabulary included in new virtual resources

‘There can be no ambiguity’: Travellers brought home to B.C. must self-isolate

Health Minister Adrian Dix said the mandatory isolation must be abided by

55+ BC Games cancelled amid COVID-19 concerns

Greater Victoria set to host 2021 event

BC Hydro offers three-month bill ‘holiday’ for those affected by COVID-19

Industrial customers can defer half of their power bills

Some April Fool’s Day jokes bring much-needed laughter; others tone deaf to COVID-19

Police are warning the public not to use the ongoing pandemic as a punchline

Canada’s 75% wage subsidy is coming, but not for several weeks: finance minister

Subsidy will cost Canada $71 billion, but push down cost of emergency benefit, Morneau said

Call before you dig into spring projects during isolation: BC 1 Call

BC 1 Call gives free checks for utilities in the area of a desired outdoor project

Most Read