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Central National-Gottesman to Acquire Spicers Paper and Kelly Paper Company
June 25, 2012 - Central National-Gottesman Inc. (CNG) today said that it has signed a definitive Purchase Agreement with a subsidiary of PaperlinX Limited to acquire its U.S. paper operations, which consist of Spicers Paper, Inc. and Kelly Paper Company. Terms of the deal were not disclosed. Spicers Paper, Inc., headquartered in Santa Fe Springs, California, is a major U.S. paper distributor with 12 warehouse locations in the West and Midwest. Kelly Paper, headquartered in City of Industry, California, operates a chain of paper stores with 48 locations across four Western states. According to CNG, combined sales for both companies were approximately $500 million in the company’s most recent fiscal year. CNG expects to close the deal on June 30, 2012. "Spicers and Kelly are well-managed and respected businesses, and we are thrilled to have the opportunity to acquire them,” said Ken Wallach, Chairman and CEO of CNG. “The existing management and staff of Spicers and Kelly have done an outstanding job. These are excellent businesses and we intend to operate both of them as they are, and under their existing brands," Wallach added. Headquartered in Purchase, New York, Central National-Gottesman is an international marketer of pulp and paper. The company has sales offices in 26 U.S. cities and 22 countries worldwide. SOURCE: Central National-Gottesman Inc |