Vida Paper Mill Gets New Lease on Life

Vida Paper AB, Sweden, which filed for bankruptcy this past December 12, reports that an agreement has been reached ensuring continuation of production at its Lessebo mill in Sweden. The company acquiring the mill is Lessebo Bruk AB, owned by three Norwegian nationals—Terje Haglund, Roar Paulsrud, and Gunnar Hop. Reportedly, the three new owners all have backgrounds in the paper industry.

Haglund noted that "we see the potential in the mill and this as a long term commitment from our side. Our ambition is to develop and run the operations in Lessebo, and we look upon coming challenges with quite a degree of confidence. Together with existing and potential customers, in combination with our important suppliers, we see a bright future for Lessebo Bruk."

The administrator of the bankruptcy estate, Bertil Stridh, said that "I have reached my initial objectives—a continued production at the mill and, consequently, that we have secured jobs in this small community. All parties have constructively come together to make this deal possible. I would like to mention the commitment of the employees in the troublesome situation that we have seen and also the commitment that the previous owner VIDA AB has shown."

Lessebo mill has been in operations for 350 years and has been producing paper since 1693. Today, the production is focused on papers for the graphical industry and speciality pulp. The mill also delivers district heating to the community.

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