Folla Bruk AS traditionally owned 170 square kilometers (66 sq mi) of land in Verran, including 50 square kilometers (19 sq mi) of productive forest. A pulp mill was established at Follafoss in 1908. In 1919, the company was bought by Nord-Trøndelag County Municipality. In 1982, the company was sold cheaply to Bjørn Lyng. Norske Skog sold the plant to Södra in 2000. The current plant was taken into use 1984. In to 1988, the plant was sold to Norske Skog. In 2007, the power company Nord-Trøndelag Elektrisitetsverk, owned by Nord-Trøndelag County Municipality, was investigated by the EFTA Surveillance Authority (ESA) for illegal subsidizing Södra Cell Folla with cheap electricity. In 2010, ESA concluded that although there had been given selective subsidies, it was not illegal. On August 28th 2012, Södra announced that it was ending its ownership and involvement with Södra Cell Folla.
On 20th of December 2012 it was announced that the Austrian boardgiant Mayr-Melnhof has signed a Letter of Intent with Södra where they intend to buy 100% of the stocks in Södra Cell Folla AS and restart the factory as soon as possible during 1st quarter of 2013.