Furnierwerk Winsen GmbH acquired Latvian plywood producer Rigas finieru rupnica

Oct 06, 2005. /Lesprom Network/. Furnierwerk Winsen GmbH, Germany, acquired plywood producer Rigas finieru rupnica, Latvia, by wood processing concern Danzer Group, Switzerland, BNS agency reported. The head of Furnierwerk Winsen GmbH Karl-Christian Danzer has said that the company plans to invest about Euro 8 million in the Latvian enterprise during the next 3 years. Enterprise modernization will be financed by Latvian banks credits. The enterprise will be developed in three stages. At the first one, it is planned to invest about Euro 4 million into new equipment setting up and premises enlargement. The first stage will end in August 2006. At the second stage, production facilities will be enlarged and wood cooking equipment will be adjusted. Total expenses can make up Euro 1.5 million. At the third stage it is planned to invest about Euro 2.5 million into building of a modern storehouse. Danzer forecasts that in the next three years the turnover of Rigas Finieru Rupnica will rise up by approximately 50% to LVL13 million ($ 22.5 million). Rigas Finieru Rupnica is going to import and process new types of wood from North America and Africa. The money turnover of Rigas Finieru Rupnica made up LVL8.3 million ($14.4 million) in 2004. That is by 6.6% less than in 2003. The profit decreased 1.5 times to LVL876 thousands ($1.5 million).