Kährs Group, Swedish wood and resilient flooring manufacturer, has announced its acquisition of part of recently formed Croatian Pozgaj Flooring.

The takeover adds own production of wood flooring near the important Central European market and supply of the high-quality Croatian oak to the Group.

President and CEO, Christer Persson, commented: “This partnership is a further step to develop Kährs Group and to strengthen our market position in Central Europe. It also means we can better serve our customers in Central Europe by moving production closer to them, meeting the strong demand for our 2-layer wood floors.”

Pozgaj has a quality profile that fits well with Kährs Group and is a strategic complement through the company's location in Southeast Europe. Pozgaj Flooring, which was previously part of Pozgaj Group, manufactures wood flooring including saw mill operations.

Through the acquisition, Kährs Group becomes a minority owner in Pozgaj Flooring with an option to acquire the remaining shares.