IFI Magazine Feb March 2019 International Forest Industries Magazine Feb March | Page 8

LOGGING & BIOMASS NEWS
New Morbark acquisition
Morbark, LLC, has recently
announced that it has completed
the acquisition of DENIS CIMAF,
Inc., based in Roxton Falls, Québec.
This transaction represents
the company’s second acquisition
since private equity firm Stellex
Capital Management LP acquired
Morbark in 2016. The acquisition
of Rayco Manufacturing in
October 2017, brought a lineup
of innovative equipment into the
Morbark family across multiple
product categories.
In particular, Rayco stump
cutters, aerial trimmers, forestry
mulchers and crawler trucks.
The purchase of DENIS CIMAF is
another step in the Company’s
strategic focus on broadening the
range of tree care and industrial
equipment, aftermarket parts, and
service offered to their Customers.
Founded by Laurent Denis and
his wife, Monique Vaillancourt,
in 1998, DENIS CIMAF specializes
in the development of high-
performance brushcutter-mulcher
attachments for excavators,
skid steers, forestry tractors,
graders and other types of heavy
equipment.
The company manufactures
four main lines of products: the
DAH series, industrial mulcher
attachments for excavators;
the DAF series, attachments for
skid steers and other dedicated
carriers; the DTN series, industrial
brushcutters-mowers for roadside
maintenance; and the EWF series,
dedicated hydraulic power packs.
The Company celebrated its 20th
anniversary in business this past
summer.
“The DENIS CIMAF team and I
are extremely excited to be joining
the Morbark family,” said Benjamin
Denis, the newly appointed General
Manager of DENIS CIMAF. “DENIS
CIMAF is a fantastic business
with committed and passionate
associates, a great track record and
enormous global potential. Being
part of the Morbark family will
enable us to continue to grow the
business farther and faster.”
Dave Herr, Chief Executive
Officer of Morbark, commented,
“DENIS CIMAF’s line of attachments
are complementary to our current
tree care and industrial product
lines. In fact, DENIS CIMAF mulcher
heads have been an available
option on our Rayco carriers
for many years. The company’s
patented mulcher head design
has enabled them to become
the mulcher head attachment of
choice among intensive vegetation
control, land clearing, roadside
transmission lines, pipeline
maintenance, and forest fire
prevention contractors.”
Transaction Highlights:
• T  he transaction is a positive,
strategic fit for both companies.
DENIS CIMAF brings a lineup of
patented, innovative equipment
into the Morbark family across
multiple product categories and
will enhance the Morbark carrier
product line.
• B
 enjamin-Pierre and Simon
Denis, sons of DENIS CIMAF
founders, Laurent Denis and
Monique Vaillancourt, will
continue to lead the DENIS
CIMAF team to develop new
Dave Herr, Chief Executive
Officer of Morbark
products and help improve the
company’s existing product lines.
• M
 orbark will operate DENIS
CIMAF as a new division
maintaining its brand identity.
DENIS CIMAF’s experienced
management team will continue
to manage its operations. Teams
from each company will work
together to determine how to be
more efficient and leverage each
other’s strengths.
Herr continued, “The companies
have a common entrepreneurial
heritage and culture, and this is a
great fit with immense potential
for growth. We are anxious to get
started.”
Södra invests in pellet factory
Södra has invested in a new pellet
factory at the sawmill in Långasjö.
The investment totals SEK 20
million and will increase total pellet
production by 10,000 tonnes.
The very first delivery was made
in the week beginning 11 February.
“Pellets are a product of the
future and an obvious alternative in
the transition to sustainable energy
solutions. Swedish small and
mid-sized industrial enterprises are
investing in pellets,” said Fredrik
Tärneberg, Head of Sales, Energy
Products, Södra.
To satisfy the demand for
pellets, Södra commenced
construction of a pellet factory
last spring, which was completed
at year-end. Following a period of
adjustment and calibration, the
very first pellets delivery will take
place in the week beginning 11
February.
Demand is primarily from
Swedish industry, which is
replacing oil with pellets. Pellets
produce heat like oil and are a
direct substitute for oil. Another
new application, and the new
Ligna 2019
27 - 31 May
Hannover
6 International Forest Industries | FEBRUARY / MARCH 2019
“trend” among horse owners, is to
use pellets as bedding for horse
boxes.
“Our pellets are made from
100-percent spruce without
additives, which makes them
ideal to use as bedding. We have
also noted an increase in pellets
stoves,” said Fredrik Tärneberg.
On 6-7 February, Södra
participated in the annual
Nordic Pellets Conference in
Varberg, which was attended by
100 national and international
representatives of pellet producers
and users.
Södra was founded in 1938
and is the largest forest-owner
association in Sweden, with a
membership of close to 52,000
forest owners. They engage in
modern and responsible forestry,
and operate state-of-the-art mills
in which they process their raw
material. Net sales in 2017 were
20.5 SEK billion and there were
Fredrik Tärneberg,
Head of Sales,
Energy Products,
Södra
3,400 employees. Through value-
generating relationships and a
long-term approach, Södra is a
leader in sustainable forestry.