Louisiana-Pacific said it has acquired the 25 percent of a Brazil oriented strand board factory it did not already own.
LP paid $24 million for the stake to a unit of Chile-based Masisa, with which it has run the plant since 2008. The Nashville-based building products supplier earlier this year said it was planning for the transaction, which will give it full control of a facility that can manufacture 390 million square feet of OSB annually.
“The completion of this purchase is an important next step in our strategic focus on growing business in South America,” said Rick Olszewski, LP’s executive vice president of sales and president of its South American division. “The Brazilian operation has continued to improve and offers strong potential for the future. The Ponta Grossa operations position us to help satisfy the growing need for structural panels in South America and to support the burgeoning demand for affordable housing in Brazil.”
Shares of LP (Ticker: LPX) rose about 0.8 percent Thursday. Year to date, they're down about 20 percent.