MONTREAL -- Dorel Industries Inc. has entered into an extensive equipment investment at three of its North American factories as well as the purchase of Notio Living, an ecommerce home furnishings firm based in Holstebro, Denmark.

The equipment improvements are meant to facilitate production flexibility, will be at the two ready-to assemble (RTA) furniture Ameriwood plants in Tiffin, Ohio, and Cornwall, Ontario, as well as at Dorel Home Products (DHP) in Montreal, Quebec. 

The upgrades, which total approximately $10 million across Dorel Home's North American manufacturing base, will bring back some production from Asia, helping to offset the industry-wide supply chain issues and will better position the segment for growth with value added innovative new products.

"One of the key benefits of the production investment will be our ability to better serve our e-commerce partners with on-trend products made in North America,” said Norman Braunstein, Dorel Home CEO. “The additions at the Ameriwood facilities will drive efficiencies and greater volume of higher value product lines such as entertainment units, storage organization, fireplaces and wall beds, all of which are growing consumer categories." 

Dorel president and CEO, Martin Schwartz, pointed to industry-wide supply-chain issues as reasons for the improvements. "It was necessary to bring greater stability to our supply chain by upgrading our factories. Once resources are fully ramped up early next year, Dorel Home will be able to increase its production of locally produced higher-margin value added items."

Notio Living Acquisition
Dorel Home is also buying Danish-based Notio Living for approximately $19 million. The company, which markets thousands of products sourced from around the world, has been in the home furnishings business for 25 years and operates throughout Europe with a strong presence in the ecommerce market.

"The Notio Living acquisition provides a tremendous advantage for further European expansion due to its strong distribution network,” said Schwartz.