GreenFirst completes acquisition of Rayonier Forest and Paper Product assets
by CM Staff
The deal establishes GreenFirst as a significant player in the Canadian forest products industry.
GreenFirst Forest Products Inc., a Vancouver-based company that specializes in acquiring and turning around sawmill assets, has completed its acquisition of six softwood lumber mills and a newsprint mill from Rayonier Advanced Materials Inc.
The mills are located in Ontario and Quebec, and have an annual production capacity of 755 million board feet and are capable of producing a wide range of forest products used in residential and commercial construction, including SPF lumber, wood chips and by-products.
The deal also includes one newsprint mill located in Kapuskasing, Ont., which has an annual production capacity of 205,000 metric tonnes per year.
The US$235-million deal was first announced in April.
In an Aug. 21 news release, GreenFirst officials say the acquisition establishes them “as a significant player in the Canadian forest products industry.”
“GreenFirst is now well capitalized to begin the first chapter of its plan to become a premier lumber producer in North America,” GreenFirst chairman Paul Rivett said.
GreenFirst also plans to make improvements to the mills’ management structure, sales processes and supply chains, the company said.