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

Benches made from wood that posed a fire risk in Lake Country

The parks team is making benches from the trees removed from the Jack Seaton Park

Rutland pride spills over

Reaction to a story this weekend was clear and worth a second read

Family Day move a welcome change: poll

Okanagan readers voted that the new date for Family Day in B.C. is a positive change

Huge crack and bang heard as Wood Lake fractures

‘It was roaring across the lake,’ Lake Country woman recounts sound of crack in Wood Lake ice

Former Prime Minister comes to Kelowna

Stephen Harper will speak in Kelowna March 12

‘Just like Iron Man’: Calgary surgeon undergoes experimental spinal surgery

Dr. Richi Gill was in a freak accident on a boogie board during a family vacation in Hawaii

Sex abuse survivors to meet with Vatican summit organizers

Pope Francis has urged participants to meet with abuse victims before they came to Rome

Ex-FBI official: ‘Crime may have been committed’ by Trump

Andrew McCabe said FBI had good reason to open a counterintelligence investigation into whether Trump was in league with Russia

Okanagan College professor awarded for promoting financial literacy

Leigh Sindlinger received a Distinguished Service Award for inspiring financial literacy in youth

Poll: What do you think of Family Day weekend’s move?

Until this year, Family Day has fallen on the second Monday in February

Sicamous farmer’s A2 milk could help those with trouble digesting dairy

The milk which contains no A1 beta-casein, a cause of digestive problems for some, hits stores soon

B.C. athlete takes home gold in freestyle aerials at Canada Games

Brayden Kuroda won the event with a combined score of 121.65.

Cabinet likely to extend deadline to reconsider Trans Mountain pipeline

New round of consultations with Indigenous communities is coming

Most Read