CEO Michael Pfeifer sees the acquisition as a great opportunity for the Pfeifer Group © Pfeifer Holding GmbH
Since its establishment in 1968, Pölkky has been owned by the Virranniemi family. As the largest private wood processing company in northern Finland, Pölkky employs 420 people and recently generated annual sales of €200 million. After its integration into the Pfeifer Group, the company intends to continue the investment program planned for the period 2022 to 2024.
“We are very excited about the opportunities created by this acquisition. Pölkky is a well-managed family business with competent management and staff, a unique location in forested northern Finland and a valuable market position. That is why Pölkky is a perfect fit for our corporate strategy, which aims at synergetic growth,” Michael Pfeifer, CEO of Pfeifer Holding, states in a press release.
Pölkky as best option
Petteri Virranniemi welcomes the strengthening of his family business and will remain CEO of Pölkky Oy © Pölkky Oy
The management trio of Pfeifer Holding includes CEO Michael Pfeifer, CTO Clemens Pfeifer and CFO Ewald Franzoi. In a thorough analysis, they have carefully examined all acquisition opportunities of the past few years and found Pölkky to be the best option. At the signing of the contract, the Pfeifer’s management announced that they are fully committed to further developing Pölkky’s ambitious investment projects and business activities.
Petteri Virranniemi, CEO of Pölkky Oy, also emphasizes the benefits of the deal: “For me and my family, this step means strengthening our potential, which will allow Pölkky to keep growing in a profitable manner. I am confident that we will be able to create new synergies and additional market potential as a result.”
New perspectives for Pfeifer
Following the acquisition, the Pfeifer Group will employ 2,600 people in four countries. Sales are projected to rise to €1.4 billion in 2023. With the transaction, the company, which was previously based in Central Europe, is pursuing a strategically coherent expansion into Scandinavia. In addition to entering an attractive market, this also opens up new sources of supply of high-quality wood from the Far North, which will ensure the group’s supply security and ability to deliver in the long term.
Pölkky brand to remain
The Pölkky brand will remain after the company’s integration into the Pfeifer Group. The previous management will continue to run the company under CEO Petteri Virranniemi, whereas the board of directors will be reorganized. The takeover will have no effect on Pölkky’s workforce, customers or cooperation agreements. The actual acquisition will be completed after merger control in January 2023.
About Pfeifer Group
The Pfeifer Group, which is headquartered in Imst (Tyrol, Austria), now operates production sites in Austria, Germany, the Czech Republic and Finland © Pfeifer Holding GmbH
Pfeifer Holding was established in 1948 and is managed by the third generation of the Pfeifer family. Before the acquisition of Pölkky, around 2,200 employees worked for the Pfeifer Group at eight production sites in Austria, Germany and the Czech Republic.
In the group’s fully integrated sawmills, around 4 million m³ of log wood are cut and completely processed every year. Pfeifer focuses on the following clearly defined business areas: timber construction (cross-laminated timber, glue-laminated timber, glued solid wood panels), formwork (concrete formwork panels, formwork beams), pallet blocks and packaging wood as well as energy (pellets, briquettes, green electricity and heat).
Pfeifer exports its products to 90 countries worldwide. Around 90% of sales are generated on the European core markets where Pfeifer is the market leader in formwork panels and pallet blocks and one of the largest manufacturers of lumber, pellets, formwork beams and glue-laminated timber.
Pölkky is the largest family-owned wood processing company in northern Finland. The company, whose slogan is “Roots for Quality Living”, stands for high production standards, reliable supply relationships, know-how in logistics and responsible staff. Pölkky operates sawmills and processing plants in Kuusamo (headquarters), Taivalkoski, Kajaani, Kitka and Oulu. The cutting volume amounts to 1.4 million m³ of log wood. The company’s product portfolio also includes lumber, planed timber, pressure-impregnated timber, glue-laminated timber as well as wood chips and sawdust. More than 70% of Pölkky’s are exported to delivery destinations in 35 countries, making the company a major player on the global sawmill market.
