The Company was founded in 1998 by Luiz Sudati and his wife Tatiane Sudati, and they remain the sole shareholders. Luiz Sudati is the company’s CEO.  

IFC is proposing an A Loan of up to US$30 million and a B Loan of up to US$ 30 million to support Sudati’s expansion of a new MDF production line and related working capital.  

Investments will be made at Sudati’s facilities located in Otacilio Costa, Santa Catarina, Brazil.

This is a Category B project according to IFC’s 2012 Policy on E&S Sustainability. Key E&S risks associated with the 2nd production line and its wood sourcing operations are limited, site-specific, and can be readily addressed through generally accepted mitigation measures described in this document. The E&S risks and issues are: (i) implementation effectiveness of E&S Management System (ESMS) at existing facility, including the proposed expansion, and at its owned/leased forest plantations; (ii) organizational capacity/competency of EHS/HR/Supply Chain function; (iii) existing HR/OHS policies  and procedures for fair and safe working conditions for direct and seasonal workers, and contractors, including workers’ grievance mechanism; (iv) FSC certification of Sudati’s owned/leased plantations; (v) third-party wood procurement, including traceability and risk screening procedures, and independent annual verification; (vi) stakeholder engagement plan and community grievance mechanism, including risks from transportation activities.