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
Log Exports To China Drop, Improving The Timber Supply To Northwest Mills
China’s slowing economy may benefit Oregon’s lumber and plywood mills by making more timber available at reasonable prices, industry observers say. Wood Resource Quarterly, an industry journal based in Seattle, reported China reduced log imports…
Timber Could Be Growth Industry If Housing Soars
For some reason, investors seem to be wary of stocks. It may be because bonds have beaten the stuffing out of stocks for the past 20 years. It may be the stream of scandals plaguing…
Sawdust Fuelled Most B.C. Sawmill Fires In Last Decade
Sawdust, wood shavings and chips, which are suspected to have played a part in two recent deadly sawmill explosions, have also fuelled dozens of fires at B.C. sawmills over the past decade. Sawdust was listed…
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.