Weyerhaeuser to Sell Printing Papers Business to One Rock Capital Partners
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Weyerhaeuser Co., Seattle, Wash., USA, this week agreed to sell North Pacific Paper Co. (NORPAC), the company's printing papers business, to One Rock Capital Partners LLC. Weyerhaeuser expects to use a substantial portion of the after-tax proceeds from the transaction for the repayment of debt.
The Japan. Terms of the transaction were not disclosed.
This announcement completes Weyerhaeuser’s strategic review of the Cellulose Fibers business. The company recently announced the sale of its pulp mills and liquid packaging board business.
"Through our strategic review of the Cellulose Fibers business, we have enhanced the focus of our company and created significant value for Weyerhaeuser shareholders," said Doyle R. Simons, president and CEO. "We will continue to build on this strong foundation as we work together to be the world's premier timber, land, and forest products company. We are proud of the contributions NORPAC employees have made to Weyerhaeuser and will continue to make in the future as part of One Rock."
The transaction is subject to customary closing conditions and is expected to close in the fourth quarter of 2016. The NORPAC business will continue to operate independently of One Rock until the transaction closes.
Weyerhaeuser, one of the world's largest private owners of timberlands, began operations in 1900. It owns or controls more than 13 million acres of timberlands, primarily in the U.S., and manages additional timberlands under long-term licenses in Canada. Weyerhaeuser manages these timberlands on a sustainable basis in compliance with internationally recognized forestry standards. The company is also one of the largest manufacturers of wood and cellulose fibers products.
Weyerhaeuser is a real estate investment trust. In February 2016, it merged with Plum Creek Timber Co. In 2015, Weyerhaeuser and Plum Creek, on a combined basis, generated approximately $8.5 billion in net sales and employed nearly 14,000 people who serve customers worldwide.
