Columbia Forest Products' Multiply Underlayment division announced it has completed a management buyout of the 50-year-old Nipigon, Ontario, underlayment plant as well as the Multiply trademark from Columbia Forest Products. The newly incorporated company will now operate under the name Multiply Forest Products Inc. Terms of the agreement were not disclosed.

"The key aspect is our employees have an ownership stake in the company and share in the risks and rewards, which will have a compelling outcome for Multiply's customers," said Doug Melien, Multiply's vp.

The company is planning an aggressive plant renovation, according to Gilles Boucher, Multiply's president.

"Our management team is looking forward to building on the success of our former owners and adding value to our community by immediately investing $4 million in a modernization strategy," he said. "We are working with the Province of Ontario Government of Canada for additional support."

Multiply Forest Products is located at 1 Newton St., Nipigon, ON, P0T 2J0. For more information visit www.multiplyplywood.com.