Rayonier Advanced Materials Inc has closed its acquisition of Tembec Inc, a Canadian paper and cellulose pulp maker. No financial terms were disclosed. Tembec was backed by Oaktree Capital Management LP.
JACKSONVILLE, Fla. & MONTREAL–(BUSINESS WIRE)–Rayonier Advanced Materials Inc. (NYSE:RYAM) announced today that it has completed the acquisition of Tembec Inc., combining two complementary high purity cellulose businesses and diversifying its product offerings with integrated forest products, paper, paperboard and newsprint businesses. The combined company, which will operate under the name Rayonier Advanced Materials, will be a stronger, more diversified global leader in its core businesses with an expanded international footprint that further positions it to serve the larger customer base with the highest quality products and services. In addition, the combined company offers enhanced new product development capabilities, a broader and more versatile asset base, and the financial strength to invest back into its businesses for continued growth.
“This acquisition advances our strategic growth objectives and provides an accretive and attractive value proposition for our shareholders by more than doubling our revenues, diversifying our product offering in high purity cellulose and allowing us to expand into new adjacent businesses,” said Paul Boynton, Chairman, President and Chief Executive Officer of Rayonier Advanced Materials. “Rayonier Advanced Materials and Tembec are not only a good strategic fit, but we are also an excellent cultural fit. We are excited to welcome the Tembec employees to Rayonier Advanced Materials as we continue to execute on our four strategic pillars of growth.”
About Rayonier Advanced Materials
Rayonier Advanced Materials is a global manufacturer of forest products, including lumber, paper, packaging and a global leader of high purity cellulose, a natural polymer commonly found in cell phones, computer screens, filters and pharmaceuticals. With manufacturing operations in the U.S., Canada and France, Rayonier Advanced Materials employs approximately 4,200 people and generates approximately US$2 billion of revenues. More information is available at www.rayonieram.com.