May 2, 201610:16 AMBlog

Weyerhaeuser selling pulp mills to International Paper for $2.2B

May 2, 2016 - 10:16 AM

It was hinted at months ago, but now it’s official. Weyerhaeuser is selling off its cellulose fibers pulp mills to International Paper for $2.2 billion in cash.

The deal includes five pulp mills in Columbus, Miss., Flint River, Ga., New Bern, N.C., Port Wentworth, Ga. and Grand Prairie, Alberta, which together produce nearly 1.9 million metric tons. Two modified fiber mills were also thrown in.

"This transaction delivers compelling value for Weyerhaeuser shareholders and further focuses our portfolio as we work to be the world's premier timber, land, and forest products company," said Doyle R. Simons, president and chief executive officer.

When Weyerhaeuser announced an $8.4 billion deal to acquire Plum Creek, it released a separate announcement saying it would look into selling off the cellulose fibers segment.

This isn’t the first time a transaction involved International Paper. Weyerhaeuser sold off its containerboard unit to the Memphis, Tenn.-based company for $6 billion in March of 2007.


Edit Module
Edit Module

About This Blog

Follow our blog for all the latest in local business news. To get the top local business news, subscribe to Daily Biz Briefs email newsletter. As a reader of this FREE email you get breaking business news each business day afternoon delivered right to your email inbox.



Atom Feed Subscribe to the Blog Feed »

Recent Posts