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Catalyst looking at AbitibiBowater castoffs: Financial Times

Catalyst is possibly looking to pick up divestitures from the AbitibiBowater merger, FT.com has reported.

Catalyst is possibly looking to pick up divestitures from the AbitibiBowater merger, FT.com has reported.

The company is in the process of marketing US$200 million of new senior notes through Deutsche Bank and Merrill Lynch. The report confirmed that Catalyst intends to use proceeds for general corporate purposes including potential acquisitions.

FT.com further reported that although no concrete information concerning prices has been released, that the move would be a strategic one on behalf of Catalyst. The timing of the deal is advantageous to the company despite its decision not to reveal any specific target opportunities under consideration, according to one of the buysiders, the story said. This is a good time for them to get this money now before we see a turn in the market. Theyre getting the money now when they can get it, not later when they need it, FT.com quoted a buysider as saying.