Bitus, part of Berg Timber's wood protection product area and one of Europe's leading producers of impregnated wood products, to close Broakulla, Sweden, facility by early 2023; production will be concentrated at Nybro and Fagelfors

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STOCKHOLM , September 15, 2022 (press release) –

After a strategic review of the operations in Bitus, the Board has concluded that future investments and investments for increased competitiveness and not least in energy efficiency should be concentrated on the existing facilities in Nybro and F├ągelfors. The advantages of production on fewer devices are obvious. Negotiations have been initiated with those affected and the ambition is for the decommissioning to be completed by the beginning of 2023.

"We do not see the conditions to operate a plant in Broakulla profitably. From this perspective, the logic behind this change is very clear, but at the same time very sad as it will affect several of our talented employees", says Peter Nilsson, President and CEO of Bergs.

The cost of the closure will have only a marginal impact on the Group's earnings. Cash flow will be positively impacted through the liquidation of working capital.



Further information regarding this press release is provided by President and CEO Peter Nilsson at telephone number 070-315 09 27 or Anders Marklund, CFO, 070-284 47 96.



The subsidiary Bitus is part of Berg's wood protection product area and is one of Europe's leading producers of impregnated wood products for both the Swedish market and for various export markets. F├ągelfors also has a modern production facility that produces energy pellets, sprinkle pellets and heat logs under its own brand.  



About Bergs


An international timber group

The Bergs Group consists of a group of independent subsidiaries with clear profit responsibility that develop, produce and market processed wood for various applications.



With many years of experience in wood and with great expertise in further processing, Bergs contributes to building a sustainable society based on renewable raw materials from sustainably managed forests in the Baltic Sea region.


Operations are conducted in Sweden, Estonia, Latvia. Poland and the UK and sales are made to about 20 countries. The largest markets are Scandinavia, the Baltics, the UK and France. The head office with group management is based in Sweden.


The company's share has been listed on Nasdaq Stockholm since 1984.

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