Kruger to Acquire Kamloops Pulp Mill in Canada.
MANews-(C)2009-2022
Montreal, Canada-based paper maker Kruger's affiliate, Kruger Specialty Papers Holding L.P., has entered into a definitive share purchase agreement pursuant to which one of its wholly-owned subsidiaries will purchase all the issued and outstanding shares in the capital of DKP Pulp ULC, a legal entity wholly-owned by Domtar Inc. that will, at the time of closing, own and operate the Kamloops Mill located at 2005 Mission Flats Road, Kamloops, British Columbia, the company said.
The Kamloops Mill produces Northern Bleached Softwood Kraft pulp and unbleached softwood Kraft for customers in North America and Asia.
Closing of the transaction contemplated by the Purchase Agreement is expected to occur in 2Q22 and is subject to customary conditions, including the approval of the Commissioner of Competition.
The Paper Excellence Group, in the context of its acquisition of Domtar Corp. in November 2021, had agreed with the Commissioner to sell Domtar's pulp mill in Kamloops, British Columbia.
This acquisition will enable Kruger to secure the supply of high-quality pulp for some of its QuÃ(c)bec paper mills.
As a reminder, the company, which has 2,700 employees in QuÃ(c)bec, is investing about USD 1bn in Sherbrooke, QuÃ(c)bec, for the construction of two state-of-the-art tissue plants.
Also, with this acquisition, Kruger will strengthen its presence in...
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