OREANDA-NEWS. SORAINEN advised Estonian company Selge Talu on its sale of 100% shareholding in planing mill Puidukoda to Protac Ouest, a subsidiary of the French Rose Group timber consortium.

“For the past 17 years, I've invested most of my time and energy into developing Puidukoda. As a result, Puidukoda has become a strong, well-known and well-functioning company. Without a doubt, the Rose Group is a good and capable owner in continuing Puidukoda's further development. I owe many thanks to all employees, customers and cooperation partners who have contributed to the successful development of Puidukoda,” says Enn Kinnas, founder and former owner of Puidukoda.

According to Rose Group owner Michel Rose, Puidukoda is a well-functioning and fast developing planing mill with a strong position in European and Asian markets. “In addition to new markets, the acquisition provides Rose Group with better and more flexible access to high quality Russian and Baltic raw material. We intend to expand Puidukoda's operations further by introducing new investments, creating new jobs and extending Puidukoda's product portfolio, especially with higher value-added treated products,” says Mr Rose.

Puidukoda is an Estonian planing mill established in 1997. The company is involved in producing and marketing planed timber products and profiled boards made of Nordic softwood. Roughly 70% of production is exported to more than 20 countries worldwide. Puidukoda expects to achieve annual sales of approx EUR 17 million in 2013 and the company employs about 70 employees. Puidukoda also has subsidiaries in Poland and the Czech Republic.

Protac Ouest, a subsidiary of the Rose Group, is involved in production and marketing of planed products in France. The consolidated sales of Rose Group amount to approx EUR 40 million and the group employs roughly 160 employees.

The transaction was advised by partner Toomas Prangli, and senior associates Paul Kunnap and Piret Lappert. The financial adviser of the seller was Nordic CF Advisory.