ICLTF - Rayonier to sell lumber newsprint businesses to GreenFirst in $214M deal

Rayonier Advanced Materials (RYAM) +3.9% pre-market after agreeing to sell its lumber and newsprint facilities and related assets in Ontario and Quebec to GreenFirst Forest Products (ICLTF) for US$214M including inventory on hand at the time of closing.Rayonier says it will retain all cash generated by the purchased assets plus all softwood lumber duties paid to the U.S. Department of Commerce through the closing date, which it estimates will total $110M at the time of closing.The two companies also agree to a 20-year residual fiber supply agreement to meet the continued fiber sourcing needs of Rayonier's high purity cellulose, high yield and paperboard operations in Temiscaming, Quebec.

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Rayonier to sell lumber, newsprint businesses to GreenFirst in $214M deal