Weyerhaeuser to Sell TruJoist Unit to Atlas
Oct. 10, 2008 - Weyerhaeuser Company has signed a non-binding letter of intent to sell its Trus Joist® Commercial division (“Commercial Business”) to Greenwich, Connecticut-based Atlas Holdings.
Financial terms of the deal were not disclosed.
The proposed transaction will include four manufacturing plants across the United States (located in Chino, Calif.; Hillsboro, Ore.; Delaware, Ohio and Stayton, Ore.) and 13 sales and engineering offices. About 428 employees concentrated in the Northwest, Southwest and East serve the business.
“Our goal is to ensure that the Commercial Business is optimized for long-term growth,” said Carlos Guilherme, iLevel vice president of sales. “After a thorough review of the alternatives, we believe the decision to explore the sale of this business and its assets to Atlas Holdings is in the best interests of our shareholders, employees and customers. At the same time, that outcome would allow Weyerhaeuser to narrow its focus on core strategies in the residential structural frame market.”
The transaction is subject to satisfactory negotiation of a final agreement and Board approval. The transaction is expected to close in the fourth quarter of 2008. This is the culmination of a strategic review for the business that started in February 2008. During the review, Weyerhaeuser looked at a variety of options, including continuing to hold and operate all or part of this business to a possible sale or combination.
Atlas Holdings LLC operates businesses in a number of industrial sectors, including the wood products, pulp and paper, packaging, capital equipment and industrial services industries. Founded in 1999 with the acquisition of a single paper mill, Atlas has since expanded its operations to include nearly 30 facilities across North America and Europe and now employs over 3,000 people.
SOURCE: Weyerhaeuser Company