110.000 ha sold in Latvia for 324 million EUR.
The Swedish company Bergvik has sold their forest and land assets in Latvia to the Swedish timber industry Södra. The transaction includes a total of approximately 110.000 ha, of which about 80.000 ha is forest.
According to the press release, the transaction amount is 324 million EUR. This, most likely, makes it the largest forest transaction in Europe in 2018.
Södra already ownes approximately 15.000 ha forest in Latvia and is therefore significantly increasing their position in Latvia with this acquisition.
According to Södra the investment will secure part of the company's raw material supply. The import structures will be improved to complement the raw material supply in Sweden whereby Södras position will be strengthened