This investment will support Kebony’s international growth plans including developing new production capacity for its sustainable hardwood alternative beyond Kebony’s base in Norway. As the adoption of Kebony’s wood has grown internationally, the company said it has identified the need for production sites closer to its customers.
“Our product fulfils an ever-growing demand for a sustainable and high performance wood,” said Christian Jebsen, Kebony’s chief executive. “This investment comes as we look to increase production and develop the market, which in the short to medium term, will require new production sites in our target international markets. Investinor brings domain expertise and relevant experience in supporting exporting enterprises.”
The demand for Kebony’s wood has steadily increased over recent years and the company has seen average growth of 30% p.a. in the last five years as it has expanded to meet the increasing need for high performance wood whilst protecting tropical forests. Conservation is not just a passing consumer trend, it is now mandated by law – the EU timber legislation came into effect in March 2013, which bans illegal forestry products from entering the market.
Investment Director Stig Andersen from Investinor said: “Kebony is an exemplary company for Investinor, which aims to promote technology transfer, exporting Norway’s innovative technologies to the world. This is a timely investment for us as Kebony takes its sustainable, high performance wood to fulfil the demand in new, international markets.
“Investinor is an ‘evergreen’ investment company funded by the Norwegian government. As for all portfolio companies, Investinor is ready to invest more capital into Kebony AS in the future, as the company continues to grow and deliver prospects of high returns to its owners.”