Features Environment & Sustainability
ACQUISITION: ENERGY COMPANY BUYS QUEBEC MILL

HOUSTON, TX — Enron Industrial Markets, a leading American energy company, has signed a deal to buy Daishowa Forest Products Ltd. of Toronto, ON — a holding company for a 370 000-t/y newsprint mill …
HOUSTON, TX — Enron Industrial Markets, a leading American energy company, has signed a deal to buy Daishowa Forest Products Ltd. of Toronto, ON — a holding company for a 370 000-t/y newsprint mill and related assets in Quebec. Financial terms of the deal were not released.

The energy company has been busy. In July 2000, Enron bought Garden State Paper, a recycled newsprint mill in Garfield, NJ. Jeff McMahon, chairman and chief executive officer of Enron, explained the reason for the acquisition: “This strategically located mill complements Enron’s existing production at Garden State Paper and gives us additional physical capability, thus expanding the menu of products available to our pulp and paper customers.”

Enron has being offering various financial hedges to the industry since 1997. It is one of the world’s leading electricity, natural gas and communications companies, posting annual revenues of about $150 billion in 2000.