Resolute completes acquisition of Conifex U.S. sawmills
February 3, 2020 By P&PC Staff
Resolute Forest Products has completed its previously announced acquisition of Conifex Timber Inc.’s three sawmills in the U.S. South.
The deal closed on February 1. The total purchase price was $163 million, plus working capital, which is estimated at $13 million.
The three sawmills, with combined production capacity of 550 million board feet, are located in Cross City, Florida, and in Glenwood and El Dorado, Arkansas. The facilities produce construction-grade dimensional lumber and decking products from locally-sourced southern yellow pine for distribution within the United States.
“We are pleased to welcome the new employees to Resolute,” says Yves Laflamme, president and chief executive officer. “The acquisition of the U.S. sawmills is the right move, at the right time, for Resolute; it will give us immediate scale in an attractive region, with quality assets in a rich fibre basket, close to growing end-markets.”
When operating to capacity, almost 25 per cent of Resolute’s lumber production will be in the U.S. South.
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