August 22, 2018 By P&PC Staff
August 22, 2018 – Dunn Paper has acquired Clearwater Paper Corporation’s Ladysmith, Wisconsin facility in a deal worth approximately $72 million.
Proceeds from the sale will help to pay down debt and finance the expansion of Clearwater’s Shelby, North Carolina location. Clearwater Paper manufactures tissue, bleached paperboard and pulp across the United States. Dunn Paper develops a variety of paper materials for packaging and tissue, and has six locations including one in St. Catharines, Ontario.
“In our consumer products business, our strategy is focused on network optimization to match the growing demand for the ultra-quality segments of the tissue category. As a result, we elected to sell our Ladysmith facility, which manufactures recycled paper and does not align with that strategy,” said Linda K. Massman, president and chief executive officer. “On behalf of Clearwater Paper, we sincerely thank the Ladysmith team for their hard work and commitment to providing our customers with high-quality products and services.”
Effective immediately, Ladysmith employees are now employees of Dunn Paper.
“Ladysmith is a critical piece of our strategic growth at Dunn,” said Brent Earnshaw, chief executive officer of Dunn Paper. “The additional capacity at Ladysmith will enable faster growth in the specialty tissue/absorbent market and their recycled fibre source is well suited for a variety of applications within the Dunn portfolio.”
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