PotlatchDeltic Announces Agreement to Sell 72,000 acres in Minnesota to The Conservation Fund
June 21 2020 - 3:00PM
Business Wire
PotlatchDeltic Corporation
(NASDAQ: PCH) today announced an agreement to sell approximately
72,000 acres in Minnesota to The Conservation Fund for
approximately $48 million in cash. The transaction is subject to
customary closing conditions and is expected to close in the second
half of 2020.
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the full release here:
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"Tamarak Reflections" (Photo by Sparky
Stensaas)
“This transaction represents a significant milestone in our
long-term strategy to maximize shareholder value through rural real
estate sales,” said Mike Covey, chairman and chief executive
officer of PotlatchDeltic. “Proceeds from this transaction will
further enhance our already strong liquidity position and
flexibility. Our Minnesota ownership was approximately 330,000
acres when we began our rural land sale program over a dozen years
ago. The timberlands that we currently own in Minnesota are heavily
weighted to more remote areas, ideal for conservation and working
forest protection. Nearly all of our ownership in the state is now
under contract with a series of closings scheduled to occur through
2022.”
“The Minnesota’s Heritage Forest acquisition will be one of the
largest land conservation efforts in Minnesota in recent history.
Our goal is to ensure the 72,000 acres remain forested and
sustainably managed as working timberlands,” said Larry Selzer,
President and CEO of The Conservation Fund. “Our purchase and the
ultimate protection of the PotlatchDeltic land will support
northern Minnesota’s long tradition of timber production and
outdoor recreation by preserving working forestlands and
safeguarding jobs, while also protecting water quality and wildlife
habitat, helping mitigate climate change, and contributing to local
economies.”
This outcome is a culmination of long-standing work The
Conservation Fund and PotlatchDeltic have been able to complete
together to achieve conservation and economic goals. With this
transaction and others underway, this partnership has been the
catalyst to conserve more than 200,000 acres in the State of
Minnesota for various conservation purposes, including working
forests, protection of important habitats and public access. The
Conservation Fund’s purchase will be made possible through its
Working Forest Fund®, dedicated to protecting large, ecologically
and economically important forestlands from subdivision and
fragmentation, allowing time for permanent conservation solutions
to be developed and implemented with local partners that strengthen
rural economies and conserve natural ecosystems.
The PotlatchDeltic lumber mill in Bemidji will continue to
operate successfully, as it has for nearly 30 years. The property
being sold to The Conservation Fund as a working forest will
continue to supply logs to these markets and provide for the
protection of the essential jobs required to deliver and process
the trees.
About The Conservation Fund
At The Conservation Fund, we make conservation work for America.
By creating solutions that make environmental and economic sense,
we are redefining conservation to demonstrate its essential role in
our future prosperity. Top-ranked for efficiency and effectiveness,
we have worked in all 50 states since 1985 to protect more than
eight million acres of land, including more than 311,000 acres in
Minnesota. More information can be found at
www.conservationfund.org and www.workingforestfund.org.
About PotlatchDeltic
PotlatchDeltic (NASDAQ:PCH) is a leading Real Estate Investment
Trust (REIT) that owns approximately 1.8 million acres of
timberlands in Alabama, Arkansas, Idaho, Louisiana, Minnesota and
Mississippi. Through its taxable REIT subsidiary, the company also
operates six sawmills, an industrial-grade plywood mill, a
residential and commercial real estate development business and a
rural timberland sales program. PotlatchDeltic, a leader in
sustainable forest practices, is dedicated to long-term stewardship
and sustainable management of its timber resources. More
information can be found at www.potlatchdeltic.com.
Forward-Looking Statements
This communication contains statements that are forward-looking
within the meaning of the Private Securities Litigation Reform Act
of 1995, including, without limitation, with respect to
PotlatchDeltic’s expectations concerning the occurrence, timing and
tax implications of the closing of its sale of timberlands. All
forward-looking statements speak only as of the date hereof, are
based on current expectations and involve and are subject to a
number of assumptions, risks and uncertainties that could cause
actual results to differ materially from such forward-looking
statements. PotlatchDeltic may not be able to complete the sale of
its Minnesota timberlands within the stated time period, or at all,
because of a number of factors, including without limitation: the
occurrence of any event, change or other circumstances that could
give rise to a termination of the transaction under the terms of
the purchase and sale agreement or the failure to satisfy other
closing conditions. There is no guarantee that any of the events
anticipated by these forward-looking statements will occur. If any
of the events occur, there is no guarantee what effect they will
have on PotlatchDeltic’s operations, financial condition or results
of operations. The company undertakes no obligation to update these
forward-looking statements after the date of this news release.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20200621005025/en/
For PotlatchDeltic (Investors) Jerry Richards
1-509-835-1521 (Media) Anna Torma 1-509-835-1558 For The
Conservation Fund Ann Simonelli asimonelli@conservationfund.org
1-703-908-5809
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