Sappi Limited announced that all conditions precedent relating to the acquisition of the Matane high yield hardwood pulp mill in Quebec Canada from Rayonier Advanced Materials have been fulfilled and closing has been completed.
The acquisition will increases Sappi’s pulp integration for its fast-growing packaging businesses in both North America and Europe and also enable supply to be increased over time to Sappi’s mills in North America and Europe as demand increases and capacity expands in certain growth businesses.
Commenting on the transaction Steve Binnie, Chief Executive Officer of Sappi Limited, said: “I am very pleased that we have been able to finalise this acquisition so quickly. This acquisition will provide Sappi with both cost reductions and decreased volatility at a very competitive price per ton of pulp. The transaction strengthens Sappi’s pulp integration, improves our profitability and is another significant milestone towards realizing our Vision2020 goal.”