Arbitration Institute Sides with Valinge Minority Owners
Stockholm, Sweden, June 10, 2014 -- The Arbitration Institute of the Stockholm Chamber of Commerce has sided with Kronospan and Swiss Krono Group in its shareholder dispute with Valinge Innovation, according to a report by Euwid Wood Products and Panels.
The firms, which each hold a 20% stake in Valinge, had objected to certain financing issues over the last few years.
Counterclaims by Valinge Flooring Technology, which owns the remaining 60%, were rejected.
Chief among them was the construction of a new office and administrative complex. The minority shareholders felt Valinge paid too much. In addition, they felt expenses related to developing new technologies, such as the wood powder technology, were too high.
The firms were seeking damages resulting from a reduction in earnings. According to the story, citing unconfirmed reports, the firms were seeking about 17 million euros.