ARGENTINA - Egger Group, a leading European engeneered wood and wood products manufacturer, today signed an agreement for the acquisition of Masisa's industrial operation in Argentina for USD 155 million.

The operation includes the industrial assets of Masisa in Concordia and its commercial operations. The forestry unit, which will continue in the hands of Masisa S.A., will continue to be a strategic partner, maintaining a long-term agreement for the supply of quality timber. With the acquisition of this productive unit, the first outside Europe, Egger plans to grow and become a key player in the Latin American market.

Egger found in the industrial unit of Masisa Argentina a perfect complement to its philosophy and business strategy and after a brief transition process, Egger Group will fully assume control of the industrial business in Argentina, its more than 500 highly qualified employees and its exclusive distribution network, Placacentro, with 57 locations. "This way, the Argentine team will continue to strengthen the links and relationships built up over the years with each of the publics: customers, suppliers, professionals, neighbors, institutions, the general public. This new stage brings a better portfolio of innovative products, solutions and services of excellent quality, which together with the local experience and the global support of EGGER ensures that the subsidiary continues to lead the development of the market," the Austrian group said in a statement to the market.

The buyer, Egger, is a family business founded in 1961 in Austria, employing approximately 8000 people. It operates 17 plants in Europe, producing a wide range of wood products (chipboard, OSB and MDF panels, laminates, flooring). The company generated a turnover of 2.34 billion euros in FY 2015/2016.