A Russian-based company is acquiring Perry-based Tolleson Lumber Co. in a deal announced Monday.
Ilim Timber Industry has entered into an agreement to acquire Tolleson in partnership with management, the news release stated.
Were excited and looking forward to it, Tolleson President Jay Galloway said Monday. We think it is going to be a real good opportunity.
Tolleson -- founded 92 years ago -- has about 225 employees at its plants in Perry and Preston and all will be retained with the acquisition, said Galloway, who will retain his position.
The name of the company will remain Tolleson Lumber Co., he said.
After some legal issues are completed, the deal is expected to be final in about a week, Galloway said. The purchase price was not disclosed.
Ilim Timber is the leading Russian manufacturer of softwood, sawn wood, deep processed timber products, softwood plywood and hardboard, according to its website.
The acquisition is a next step in Ilims strategy to become an industrial global leader in efficiency and in volume of production in the key markets of Asia, Europe and America, the release stated. With the addition of the two Tolleson sawmills Ilims global production capacity would exceed 1.65 billion board feet annually and broadened to include southern yellow pine.
Tolleson will become a cornerstone for further expansion in the U.S. which is a part of our business strategy, Boris Zingarevich, chairman of the Ilim board said in the release.
Tolleson has been family-owned since it was established in 1919 and it manufactures southern pine lumber, the release stated. With the capacity to produce about 400 million board feet annually, Tolleson has been one of the largest independent lumber manufacturers in the southeastern part of the county.
Ilim Timber Industry, which has more than 3,000 employees, was founded in 2007 as a spin-off from a large Russian pulp and paper company. In 2010, it acquired two sawmills in Germany.