Traditionally, it is normal for employees and other stakeholders to become a little or even overly anxious when rumors of officials of the companies they work for spread around insinuating a business deal. Flavio Maluf was at the heart of suppressed discussions by Eucatex workers for several days running. However, Flavio Maluf has emerged and laid the anxiety to rest. Flavio is the CEO of Eucatex, a company that specializes in the manufacture of wood fiber sheets, paper printing, and paint manufacturing. Read more at Bloomberg.com for more info.
According to the information provided by Flavio Maluf, for the benefit of Eucatex workers and shareholders, he explains that the company had agreed with Duratex to surrender its firm in Capao Bonito in exchange for a deal that would allow them to produce thin sheets of wood in Botucatu.
The Transaction Explained
The deal outlines that Duratex, which specializes in the production of plywood, wood panels, metal fittings, and earthenware, will remain for purposes of producing raw materials. According to Flavio, the deal cost R$ 60 million. The plant in Botucatu is a major one that has a workforce of 280 people. The firm is also reported to have a production capacity of up to 200 m3 per year. Mr. Flavio wrote a letter addressed to the employees explaining that with the acquisition of the unit in Botucatu, the company will increase its production capacity of fiber sheets by 70% and its paint by 30%.
He further noted that the deal opens up possibilities of employing more people while reducing the losses that it incurs from processes. In a note that sounded quite optimistic, Mr. Maluf observed that Eucatex will now access markets that it had not reached before. He was quick to point out that the deal is awaiting approvals from CADE, which is the regulating authority.
Flavio Maluf is one of the most respected entrepreneurs in his community in Brazil. He has invested broadly in projects that range from wood products and investment services. Flavio reveals that the business deal entailed a pact that would see the two companies collaborate with the intention of providing their customers with better products and services. Visit: http://economia.estadao.com.br/noticias/releases-ae,conheca-com-flavio-maluf-os-profissionais-mais-requisitados-pelas-startups-em-tempos-atuais,70001683019