Rayonier to Acquire 250,000 Acres in Southeast U.S.

Rayonier, Jacksonville, Fla., USA, this week signed an agreement to acquire approximately 250,000 acres of timberlands from Joshua Timberlands LLC and Oklahoma Timber LLC for $330 million. The acquisition, expected to close in the fourth quarter of this year, will initially be funded using cash, Rayonier's revolving credit facility, and the assumption of existing debt of the sellers. Closing is subject to customary timberland transaction conditions.

"The quality and location of these timberlands make them an excellent strategic fit for Rayonier," said Lee M. Thomas, chairman and CEO of Rayonier. "This transaction is a major step forward in our strategy to grow and diversify Rayonier's timberland ownership while allowing for further expansion of our rural land sales program."

The timberlands are located in Mississippi, Louisiana, Oklahoma, and Alabama. Upon completion of the acquisition, Rayonier will own, lease, or manage some 2.7 million acres in 10 states in the U.S., and New Zealand.

TAPPI
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