Nashville, Tenn.-based Louisiana-Pacific announced it has completed the first phase of the purchase of a 75 percent stake in Masisa OSB Industria e Comercio.

The oriented strand board company has an annual production capacity of 375 million square feet.

The deal is expected to close in the third quarter of 2008, “following a transition period that will allow the two companies to work cooperatively to facilitate LP assuming full operating control of the OSB assets,” according to a statement.

“We are very pleased with this purchase,” said Rick Olszewski, executive vp-sales and LP’s specialty products businesses, and president of LP South America. “Our due diligence process confirmed our confidence in the quality of these assets and their potential to serve a growing demand for affordable housing in Brazil and other parts of South America.”

Also in South America, LP currently operates mills in Panguipulli, Chile, and in Lautaro, Chile.