Divestiture • Forest Products

Catalyst Paper Acquires Verso Paper - Two Paper Mills

On October 30, 2014, Catalyst Paper acquired forest products company Verso Paper - Two Paper Mills from Verso for 74M USD

Acquisition Context
  • This is Catalyst Paper’s 1st transaction in the Forest Products sector.
  • This is Catalyst Paper’s largest (disclosed) transaction.
  • This is Catalyst Paper’s 2nd transaction in the United States.

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M&A Deal Summary

Date October 30, 2014
Target Verso Paper - Two Paper Mills
Sector Forest Products
Buyer(s) Catalyst Paper
Sellers(s) Verso
Deal Type Divestiture
Deal Value 74M USD

Target Company

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Buyer Overview 1

Buyer

Catalyst Paper

Richmond, British Columbia, Canada

Category Company
Founded 1946
Sector Forest Products
Employees2,700
Revenue 2.0B CAD (2015)
DESCRIPTION

Catalyst Paper Corp. is a producer of mechanical printing paper and a recognized leader in sustainable business practices, Catalyst Paper manufactures a broad range of high quality products ideally suited to our times.


Deal Context for Buyer #
Overall 2 of 2
Sector: Forest Products 1 of 1
Type: Divestiture 1 of 1
Country: United States 2 of 2
Year: 2014 1 of 1
Size (of disclosed) 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2013-02-13 Powell River Energy

Powell River, British Columbia, Canada

Powell River Energy consists of two generating stations with a total installed capacity of 83 MW producing an average of 546 GWh on an annual basis. The system has storage capacity of approximately 158 GWh and is interconnected to the British Columbia power grid.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2018-05-25 ND Paper

Oakbrook Terrace, Illinois, United States

ND Paper LLC is a global paper product manufacturer and the largest containerboard producer in China and Asia. Nine Dragons has an extensive product line of kraftlinerboard, testlinerboard, white top linerboard, coated linerboard, high performance corrugating medium, coated duplex board, and coated white board. These products, along with the Rumford and Biron product lines, provide a one-stop shop for a broad variety of your needs in packaging and paper products.

Sell $175M

Seller Profile 1

SELLER

Verso

Miamisburg, Ohio, United States

Category Company
Founded 2006
Sector Forest Products
Revenue 1.3B USD (2021)
DESCRIPTION

Verso is a producer of graphic, specialty, and packaging paper and market pulp, with a long-standing reputation for quality and reliability. Verso has two paper mills in Michigan, a roll to sheet converting facility in Wisconsin (paper production idled), and two distribution centers in Sauk Village, Illinois, and Bedford, Pennsylvania. The production facilities are strategically located within close proximity to major customers, and the annual production capacity totals around 1.1 million tonnes of paper. Verso was founded in 2006 and is based in Miamisburg, Ohio.


Deal Context for Seller #
Overall 1 of 4
Sector: Forest Products 1 of 3
Type: Divestiture 1 of 4
Country: United States 1 of 4
Year: 2014 1 of 1
Size (of disclosed) 2 of 2
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2015-01-07 NewPage

Miamisburg, Ohio, United States

NewPage manufactures, markets and distributes coated printing papers for magazines, catalogs, textbooks and advertising materials.

Buy $1.4B