Gorman Group Purchases Princeton, B.C. Sawmill
Weyerhaeuser has announced it has reached an agreement to sell its lumber mill in Princeton, British Columbia, to the Gorman Group, owners of Gorman Bros. Lumber Ltd., a family-owned wood products manufacturer headquartered in West Kelowna, B.C. The purchase price is approximately $120 million CAD in cash, which includes Weyerhaeuser’s manufacturing facility, all associated timber license assets in British Columbia and the value of working capital, which will be subject to customary purchase price adjustments at closing.
Weyerhaeuser and Gorman Group have a long-standing relationship in Canada. Gorman Bros. Lumber is currently the Princeton mill’s largest customer, and Gorman Group has operated in Canada for more than 75 years, with offices and facilities in B.C. and Washington state.
“Weyerhaeuser’s Princeton operation will be a natural fit with the Gorman Group,” says Nick Arkle, CEO, Gorman Group. “We’ve had a strong connection to the Princeton operation for many years, and we know firsthand the skill, commitment and quality that define its team. We’re delighted to welcome this mill and its people into the Gorman Group family, as this move will strengthen our company, support the sustainability of good jobs in our communities and help us continue developing the world-class wood products we’re known for. This really will be a case of the whole being stronger than the sum of its parts. We’re looking forward to working together with First Nations, governments, communities and all our employees to make this a B.C. success story.”
The transaction is subject to customary closing conditions, including regulatory review, with the sale of the mill expected to be completed in third quarter 2025, and the forest tenures to follow over the ensuing months. Weyerhaeuser expects to recognize a gain on the sale and incur a tax liability of approximately $15 million CAD. Weyerhaeuser’s other operations in Canada will not be affected by this transaction, and the company will continue to operate the Princeton mill independently of the Gorman Group until the transaction closes.
Latest News
New Logstacker Ships To British Columbia
Allied Systems Co., parent company of Wagner Logstackers, has delivered the first of its new generation Logstackers into Canada. The four wheel drive, 60 ton operating capacity model L4120 shipped to British Columbia in March.…
Tolko Makes Tough Sawmill Decisions
Tolko Industries Ltd. announced the permanent closure of its Quest Wood sawmill in Quesnel, BC and a reduction from two shifts to one at its Kelowna, BC sawmill. “This is a difficult but necessary decision,”…
Texas BMP Monitoring Shows Steady Improvement
A 28-year program to monitor logging Best Management Practices (BMPs) implementation on east Texas timber harvest sites shows overall 93.8% BMP implementation in 2018 across all land ownerships. That’s a solid improvement in the last…
Doosan Opens Second North America Center
Doosan Infracore North America, LLC, a leading manufacturer of construction equipment, opened its second North American parts distribution center near Seattle, Wash. In late 2018, Doosan opened a new 100,000 square-foot parts distribution center in…
Find Us On Social
Newsletter
The monthly Timber Processing Industry Newsletter reaches over 4,000 mill owners and supervisors.
Subscribe/Renew
Timber Processing is delivered 10 times per year to subscribers who represent sawmill ownership, management and supervisory personnel and corporate executives. Subscriptions are FREE to qualified individuals.
Advertise
Complete the online form so we can direct you to the appropriate Sales Representative.