Stockholm, Sweden 29 November 2018 -- Södra is transferring Berg & Berg in Kallinge to the Mor-Gerd Group, controlled by Bernt Ivarsson, who also owns the Profura Group. On 21 November, Södra announced the commencement of a procedure to close the parquet flooring manufacturer Berg & Berg. "Following a decision to close the company, one of the interested parties, Bernt Ivarsson, has today entered into an agreement with Södra regarding the takeover of Berg & Berg. We are delighted with this turn of events, especially for our employees," said Peter Karlsson, Head of the Södra Interiör segment.

Last summer, Södra decided to withdraw from the Interiör segment, which includes parquet flooring, and divested all of the segment's other operations. At the same time, an announcement was made that Berg & Berg was for sale. Södra's held discussions with various interest parties to find a suitable solution, but none of these were successful. On 21 November, Södra instead announced the commencement of a procedure to close the company, affecting some 60 employees.

Following the decision to close the company, one of its stakeholders, Bernt Ivarsson, owner of the Mor-Gerd and Profura Groups, decided to take over the business.

"I am aware that this will be a challenge and that the unit is in major need of investment, but I am prepared to take over the business. Berg & Berg is a leader in sustainable parquet, which ensures that the flooring has neutralised its carbon impact. Berg & Berg combines careful management of natural resources with the demands of a modern lifestyle. Respect for the environment is paramount today, so I think that we can work together to turn this business around. I have been working closely and successfully with Södra for more than 30 years, and have confidence in this business transaction," said Bernt Ivarsson.

"We wish Bernt the best of luck, and we will continue to supply Berg & Berg with raw material from Södra members' forests," said Peter Karlsson.

Ivarsson founded his business operations in 1974 and is based in Gothenburg. Not far from Berg & Berg, the Group has control of AriVislanda, LB-Hus in Bromölla, Trensum in Tingsryd, and Olle Svensson in Olofström. The Group comprises about 20 companies and generated total sales of SEK 3.2 billion in 2017.