Cascades to Purchase CDPQ's 20.2 Percent Interest in Greenpac for $93 Million
The Greenpac mill manufactures lightweight linerboard made with 100% recycled fibers on a machine with an annual production capacity of 540,000 short tons. The mill employs 152 people.
Dec. 11, 2019 - Cascades Inc. announced today that it is exercising its option to purchase the interest of the Caisse de depot et placement du Quebec (CDPQ) in Greenpac Holding LLC ("Greenpac"). CDPQ owns a 20.2% interest in Greenpac, a lightweight containerboard mill located in Niagara Falls, New York. The expected purchase price is approximately US$93 million. The transaction is expected to close January 3rd, 2020. As of today, Cascades owns a 66.1% interest in Greenpac, a joint venture created in partnership with CDPQ, Jamestown Container Companies and Containerboard Partners. "This transaction is an important part of Cascades' strategic plan, and will improve our available cash flow," said Mario Plourde, President and CEO. "This decision is another step in a series of actions that we have carried out over the past few years to improve our position in an increasingly competitive market. “I would like to thank CDPQ for its support in this important project. From the outset, we developed and maintained a truly successful, winning partnership," Plourde concluded. Founded in 1964, Cascades offers sustainable, innovative and value-added packaging, hygiene and recovery solutions. To learn more, please visit: www.cascades.com. SOURCE: Cascades, Inc. |