UPM and Versowood Forge Strategic Wood Sourcing Partnership in Finland

UPM and Versowood, Finland's largest private producer and processor of sawn timber, have entered into a long-term partnership to strengthen UPM’s wood sourcing capabilities in a competitive Finnish market. Under this agreement, UPM will receive high-quality pulpwood and sawmill by-products from Versowood, boosting supply for its pulp mills. In exchange, UPM will supply Versowood's sawmills with logs sourced through its own operations. Notably, UPM will sell its Korkeakoski sawmill to Versowood, receiving a minority stake in the company. The Korkeakoski site produces 350,000 cubic meters of pine timber annually. This collaboration is expected to enhance efficiency, resource utilization, and supply-chain stability, benefitting both partners and supporting sustainable forestry. The agreement awaits regulatory approvals and highlights the companies’ commitment to innovation and decarbonization in Finland’s wood industry.