Friday, October 3, 2025
Versowood Oy, Finland’s largest private wood processing company, has officially announced the acquisition of the Korkeakoski sawmill business from UPM Corporation. This strategic move marks a significant milestone in the Finnish timber industry and reinforces Versowood’s dominance in the sawn timber sector.
The transaction, which was revealed today, also includes a substantial cooperation agreement between the two companies. The partnership involves long-term collaboration on by-products and pulpwood originating from Versowood’s sawmills. These synergies are expected to benefit both parties and enhance supply chain integration.
Post-acquisition, Versowood becomes the largest wood processor in Finland. It also positions itself among the top 10 largest sawmill operators in Europe. The combined annual turnover of Versowood and the newly acquired Korkeakoski unit will exceed €700 million.
Versowood’s annual production of sawn timber will approach 2 million cubic metres. The company now employs close to 1,000 people across Finland. This expansion further cements its leadership in wood processing and broadens its influence in the European timber market.
“The acquisition also increases Versowood’s wood procurement area. It now includes the North Pirkanmaa region,” explained CEO Ville Kopra.
The Korkeakoski sawmill has a rich history. Originally sold by the Kopra family in 1988 to United Paper Mills (now UPM), it has consistently produced high-quality pine sawn timber. With an annual output of 350,000 cubic metres, it has played an important role in the region’s industrial output.
The unit currently employs around 80 workers, all of whom will transfer to Versowood under existing terms.
“It is a very nice and nostalgic feeling to return to being the owner of the Korkeakoski sawmill. I grew up at the foot of the sawmill,” said Ville Kopra.
The deal is subject to approval by the Finnish Competition and Consumer Authority. These approvals are expected by the end of 2025. Upon completion, UPM will become a minority shareholder in Versowood Oy, marking a new chapter in both companies’ histories.
A portion of the final arrangements will be governed by compliance frameworks. Regulatory clarity is expected in the coming months. Until then, both companies will continue to operate their respective businesses independently.
UPM recently invested in upgrading the Korkeakoski sawmill during the summer of 2025. The plant is currently in excellent condition. These improvements will support Versowood’s downstream operations. It also improves efficiency and adds capacity to handle increased volumes of raw timber.
Versowood’s annual log usage will exceed 3.5 million cubic metres following the acquisition. This scale enables greater purchasing power and enhanced competitiveness in both domestic and export markets.
“At the same time, we are increasing our cooperation with UPM regarding by-products and pulpwood,” noted Kopra.
Approximately 10% of Versowood’s expanded operations will be integrated into joint ventures or long-term supply agreements, further diversifying its revenue streams.
Versowood is not just a sawn timber producer. The company offers a broad range of processed wood products. These include planed, impregnated, and painted timber. It also manufactures glued laminated timber, finger-jointed products, wooden bridges, wood pellets, and structural poles for electricity and telecommunications.
Various forms of timber packaging solutions are also part of the portfolio. This diversification supports resilience against cyclical market fluctuations.
Its full-service capability reinforces its position as a key supplier in infrastructure, energy, and construction sectors across Europe.
The acquisition is expected to have a positive impact on the Finnish timber industry. It strengthens private sector leadership in sustainable forest management and wood processing. The move aligns with national strategies aimed at boosting industrial competitiveness and employment in rural regions.
Several stakeholders view this as a landmark development. The expanded footprint in North Pirkanmaa creates new opportunities for forest owners, local businesses, and logistics providers.
Shorter supply chains and efficient use of by-products are expected to improve environmental performance.
Versowood’s acquisition of the Korkeakoski sawmill and expanded partnership with UPM mark a transformative moment. With increased production, an expanded procurement area, and diversified products, the company is well-positioned for future growth.
This development enhances Finland’s position in the global timber market and sets the stage for long-term industrial sustainability.
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Tags: Finnish timber industry, Korkeakoski sawmill, sawmill acquisition, sawn timber production, UPM, Versowood, wood processing Finland, woodworking industry
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