No-Go On Proposed Purchase Of Canfor
Canfor Corp. has agreed with Great Pacific Capital Corp., a wholly-owned subsidiary of Great Pacific, to terminate a previously announced arrangement agreement that called for Great Pacific, which already owns 51% of Canfor, to purchase the remainder of the shares for nearly $1 billion.
Based on a vote of Canfor shareholders, the “majority of the minority” vote required under a “Protection of Minority Security Holders in Special Transactions” instrument, will not be achieved, coming up at least 5% short in votes.
The deal, which would have turned Canfor from a public company into a private one, appeared to have the momentum to reach fruition, with the board of directors recommending it following endorsement from various special committees and shareholder services.
The board had stated that the purchase price represented a significant premium over the existing share price, and that ongoing industry headwinds in the forestry sector had caused some instability in trading prices and in company operations, including multiple curtailments of sawmill production.
RELATED ARTICLES
Canfor Plans New Sawmill In Louisiana
Canfor’s Vida Group Buys Sweden Mills
Latest News
New York’s Baillie Lumber Co. Acquires J.T. Shannon Lumber Division, Sawmill
J.T. Shannon Lumber completed a going concern sale of its Superior Hardwoods division, including its state-of-the-art sawmill located in Montezuma, IN, to Hamburg, NY-based Baillie Lumber. Equity Partners HG and Bengur Bryan, both Maryland-based investment…
Two Companies Go The Greenfield Sawmill Route
Article by Rich Donnell, Editor-in-Chief, Timber Processing March 2017 Articles on large greenfield sawmills don’t come around too often (though we hope to have one on Biewer Lumber’s new mill in Newton, Miss. in the…
Trade Jitters Made Lumber February’s Best-Performing Commodity
Lumber futures scored the biggest gain among major commodities for the month of February, as Donald Trump’s first full month as U.S. President fed uncertainty surrounding the nation’s lumber trade dispute with Canada. Random length…
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.