Tsar Timber expands its territories

Tsar Timber Group achieved an Agreement to acquire JSC «Pyaozerskiy LPH», one of the largest logging companies in Кагеliа, with annual available cut of 300К m³.

Tsar Timber Group (ТТG), international vertically-integrated company, engaged in production of sawnwoods, other high value added products and export sales to UK and European markets. Assets of the holding are located in the UK, Кагеliа republic, Krasnoyarsk Region, Irkutsk Region. The acquisition is viewed as а part of the group's strategy to increase its raw material security for own processing.

The Honorable Sir Tim Lewin, the Chairman of the Board of Tsar Timber Distribution said: «Acquisition of JSC «Pyaozerskiy LPH», represents another important step in the strategy to become an integrated timber company and advance Russian sawntimber on European markets. Today Russian sawnwoods are traded with а significant discount to Skandinavian products on the overseas markets, because of irregular delivery, lack of interaction with the end consumer. We actively promote our production on the overseas markets and hope, promotion of Russian sawnwoods could help not only to our partners, but Russia as а whole.

Lyudmila Timofeeva, the head of the Russian branch of the Tsar Timber Group, expects substantial upside from this investment: "This acquisition should reinforce our presence in the region, since we consider the republic of Karelia to be of our primary concern due to the high quality of its forests and proximity to the main markets. We believe that "Pyaozerskiy LPH" is characterized by two the most valuable assets in the industry: its professional management team and

its large, well-managed, forest resources". ТТG plans to invest in further wood-

processing development. We wish to start with the increase of drying capacity.

We already own JSC «Kemskiy LDZ», so we see opportunities for synergy between Kem sawmill and JSC «Pyaozerskiy LРН». When ТТG comes to JSC «Pyaozerskiy LPH», timber partly will be delivered to Kem Sawmill, that will result in increase of raw material security of the Group in Karelia. Today reserves of the Group in Karelia account for 35%. We are positive, the government should stimulate further wood-processing and provide saw-mills with resources mainly. So far we spend funds to purchase timber, other way, these money could be invested in development. Investments in the sawmills without raw materials security are rather risky, that is why we are concerned to increase Group's reserves up to 70%. Besides we concern ecological issues. Right now we work а lot to get FSC certification and to process wastes biofuels».

«Acquisition of JSC «Pyaozerskiy LPH» will strengthen the group's position as а leading supplier of sawnwoods to the European markets and pulp logs to Finland», - stated Sampsa Auvinen, the Commercial Director of the Group. «We expect the new management team could increase export prices. So it will result in increase of taxes inflow in budget».

8. Переведите устно и письменно (рекомендуется для зрительно-устного и зрительно-письменного перевода):

Дата добавления: 2015-11-16