VANCOUVER, Jan. 28, 2015 /CNW/ - Canfor Corporation (TSX:
CFP) announced today the sale of its Taylor, BC pulp mill to its subsidiary
company, Canfor Pulp Products Incorporated (TSX: CFX). This
transaction will impact the management reporting structure of
Taylor Pulp within Canfor Corporation but is not anticipated to
have any operational impacts. The agreement includes a purchase
price of approximately $15 million
including working capital, along with additional consideration to
be paid by Canfor Pulp over a three year period contingent on the
financial results of Taylor Pulp over that time.
"This transaction serves to align all of our pulp and paper
operations under the expertise of our Canfor Pulp leadership team,"
said Canfor Corporation President and CEO Don Kayne. "Our excellent employees at Taylor
Pulp will continue to make high-quality products for our customers
around the globe, and this agreement will simplify the management
of our operating divisions."
Taylor Pulp employs 106 people and has an annual production
capacity of 220,000 tonnes of bleached chemi-thermo-mechanical
pulp.
Forward Looking Statements
Certain statements in this press release constitute
"forward-looking statements" which involve known and unknown risks,
uncertainties and other factors that may cause actual results to be
materially different from any future results, performance or
achievements expressed or implied by such statements. Words such as
"expects", "anticipates", "projects", "intends", "plans", "will",
"believes", "seeks", "estimates", "should", "may", "could", and
variations of such words and similar expressions are intended to
identify such forward-looking statements. These statements are
based on management's current expectations and beliefs and actual
events or results may differ materially. There are many factors
that could cause such actual events or results expressed or implied
by such forward-looking statements to differ materially from any
future results expressed or implied by such statements.
Forward-looking statements are based on current expectations and
Canfor assumes no obligation to update such information to reflect
later events or developments, except as required by law.
Canfor is a leading integrated forest products company based
in Vancouver, British Columbia
(BC) with operations in BC, Alberta, North and South Carolina and Alabama. Canfor produces primarily softwood
lumber, and also produces bleached chemi-thermo-mechanical pulp and
specialized wood products. Canfor also owns a 50.5% interest in
Canfor Pulp Products Inc., which is one of the largest producers of
northern softwood kraft pulp in Canada and a leading producer of high
performance kraft paper. Canfor shares are traded on the Toronto
Stock Exchange under the symbol Canfor.
SOURCE Canfor Corporation