Metsä Wood sells ThermoWood business

The contract sees Lunawood acquire the entire ThermoWood business of Metsä Wood, which produces 24,000m3 at a production facility in Kaskinen.

The combined turnover of the two thermally modified wood businesses will be around €40m. The additional output – added to Lunawood’s 81,000m3 annual production – will mean an annual combined production of 105,000m3 and 83 people employed.

Lunawood said the purchase would strengthen Lunawood’s position as a global market leader and forerunner in ecological thermowood solutions.

“With the purchase of the Kaskinen ThermoWood business we can guarantee the continuation of our strategic growth in the future,” says Lunawood chief executive officer Arto Halonen.

“We are able to provide our customers with an even more comprehensive range of high quality thermowood products.

“In accordance with our company strategy we will continue to develop and grow the business by investing in Kaskinen, where we plan to double the production capacity in the next five years,” he added.

A project to clarify the roles of each production facility and update the company strategy will begin immediately.

“We are aiming to identify and utilize synergies in for example raw material sourcing, subcontracting and our customer segments on the markets,” explained Mr Halonen.

Lunawood’s production facilities are based at Iisalmi and Joensu, with more than 90% of its production being exported. Metsä Wood and Lunawood have made a contract for co-operation in thermowood raw material deliveries for several years.

“We enter into partnerships with growing customers according to Metsä Wood’s strategy,” said Henrik Söderström, sales director, Metsä Wood.