The Antimonopoly Committee of Ukraine (AMKU) allowed Kronospan Holdings P.L.C. (Cyprus) to acquire shares of the Korosten MDF plant in Ukraine. According to the announcement, the decision dated May 11, 2017 provides Kronospan a permission to accumulate more than 50% of votes in the plant’s managing board.
The Korosten MDF plant has annual MDF production capacity of 300 thousand m3. The company also can produce around 6 million m3 of the laminated flooring. Currently, it is owned by the Ukrainian businessman Leonid Yurushev. Within the transaction, Kronospan plans to optimize existing production and increase efficiency of the plant
In the next three years period after the acquisition of shares, Kronospan Holdings is obliged to report AMKU production data as well as sales information for the domestic market and abroad. Also Kronospan must provide information for the imports and sales of MDF/HDF, LMDF, L-HDF and laminated flooring to Ukraine.
Earlier Kronospan announced EUR 600 million investment into wood-based material sites in Russia.
The company is a leading global producer and distributor of wood-based panels, including Particleboard (PB), Medium density fibreboard (MDF), Laminate flooring, oriented strand board (OSB), as well as other products like UF, MUF and MF resins for wood-based panels and also other associated value added products, such as melamine-faced panels, worktops, wall panels, window sills, lacquered HDF, compact boards, high pressure laminates (HPL) and others. Kronospan manufactures wood-based panels at more than 40 sites employing over 14,000 people.