Bergs Timber wants to take over Fågelfors Hyvleri

09.05.2019 − 

The Swedish wood industry group Bergs Timber wants to take over the pellet and planed goods manufacturer Fågelfors Hyvleri. According to the letter of intent signed yesterday, the transaction is subject to the signing of a share purchase agreement, due diligence and final purchase decision by the board of Bergs Timber. Bergs Timber has been granted an exclusive purchase option until 30 June. The purchase price for the Fågelfrors Hyvleri shares was set at SEK 48m. Of this amount, SEK 30m will be paid in cash and SEK 18m in the form of new B-shares issued by Bergs Timber.

According to CEO Peter Nilsson, the takeover of Fågelfors Hyvleri, which is conveniently located to Bergs Timber sawmills, will expand the group's processing division. At the Fågelfors site, the company operates a pellet factory with a production capacity of around 90,000 tonnes/year and a plant for the production of 20,000 tonnes of firewood/year. The neighbouring planing mill has a production capacity of 30,000 m³/year.

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