Aug 30, 2021 - Rayonier Advanced Materials Inc. announced today that it has completed its previously announced sale of its lumber and newsprint assets to GreenFirst Forest Products Inc., a Canadian lumber company, for a total purchase price of approximately US$235 million, subject to final adjustments.
The lumber and newsprint assets:
The total purchase price is payable approximately 85 percent in cash and 15 percent of common shares in GreenFirst (the "Green First Shares"), which is subject to a six-month holding period. Notably, RYAM retained all the cash generated by the Purchased Assets prior to closing plus rights and obligations related to all softwood lumber duties, including any potential interest on the duties, previously paid to the U.S. Department of Commerce of approximately $110 million.
As previously disclosed, the proceeds will be used to repay debt and make strategic capital investments focused on the High Purity Cellulose segment.
Rayonier Advanced Materials Inc. (NYSE: RYAM) is a global leader of cellulose-based technologies, including high purity cellulose specialties, a natural polymer commonly found in filters, food, pharmaceuticals and other industrial applications. The company also manufactures products for lumber, paper and packaging markets. To learn more, visit: www.rayonieram.com.
SOURCE: Rayonier Advanced Materials Inc.
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