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To enhance its presence in the U.S., Chilean-based Empresas CMPC SA has agreed to acquire Heritage Millworks, LLC (dba Powell Valley Millwork), Lexington, Ky.
“This is a fundamental step in the history of CMPC,” said Luis Felipe Gazitúa, chairman of the board at CMPC. “Although our products have been marketed in the United States for decades, we will now be able to produce them here, drawing on the experience and know-how of a specialist company like Powell Valley Millwork.”
A global corporation with more than 100 years of providing sustainable solutions, CMPC has long been an innovator in the marketing of wood, cellulose, packaging products, sanitary products, non-home products, and tissue paper. The acquisition will add a leader in domestic millwork manufacturing to a global company with industrial and business activities in a dozen countries across the world.
“This investment decision is an important step in our strategic growth plan in the United States and brings us closer to our customers in North America, which is a fundamental pillar of our strategic plan,” said CEO Francisco Ruiz-Tagle. “At CMPC, we are convinced that natural fiber-based products are the mainstay of the economy today and especially in the future.”
Radiata pine holds a significant position as one of the most consumed millwork products in the U.S. market. The Powell Valley facilities have the production capacity to supply volume programs across North America plus the location to provide streamlined logistics with robust customer service.
“As the market continues to evolve, we recognize the need to adapt and seize opportunities to thrive in the dynamic landscape of our business,” said Juan Pablo Pereira Sutil, managing director, CMPC Wood Products. “By combining our production capabilities, we aim to secure a larger market share and introduce a broader range of products, including radiata pine and poplar offerings, while serving our customers with a much stronger value proposition.”
“The decision to partner with CMPC marks the beginning of an exciting new chapter for the Powell Valley family,” said Jimmy Thornberry, president of Powell Valley Millwork.
Powell Valley has a strong history in manufacturing dating back to the early 1990s when Jimmy and his father, Jim Thornberry, began at their Jeffersonville, Ky., location. With nearly three decades of industry experience, the company has maintained growth in market share and profitability by introducing new programs while keeping a commitment to customer service.
CMPC and Powell Valley have aggressive growth plans in the U.S. and will begin expanding the assets at both production sites to maintain their existing poplar programs and facilitate the introduction of radiata pine manufacturing and distribution from Kentucky. Powell Valley currently employs more than 200 personnel with immediate demand for hiring skilled positions.
