Grupo Ferrum, the parent company of old established Argentine MDF producer Tableros Guillermina, has won effective control of Fiplasto SA, the national plywood and RTA flat-pack furniture manufacturer.

FV SA, a bathroom fittings subsidiary of Buenos Aires-based Ferrum has acquired a 35.5% stake in Fiplasto for around US$9.5m, buying 17 million of the firm’s shares in a transaction involving a group of 16 Fiplasto shareholders, FV announced.

The deal, which has given FV administrative control of the eucalypt plywood maker whose shares are quoted on the Buenos Aires Stock Exchange, is expected to help stabilise Fiplasto’s financial position.

Earlier this year, falling export and home sales forced the firm’s Ramallo plant to cut production and bring forward annual leave for up to 130 workers.