by Roby Brock (roby@talkbusiness.net)
Canfor Corporation has entered into a purchase agreement with Resolute El Dorado Inc., an affiliate of Domtar Corporation, to acquire its El Dorado lumber manufacturing facility in Union County, Ark. The facility produces dimensional lumber and specialty wood products.
According to a company release, the transaction is a $73 million acquisition. Canfor said it plans to invest $50 million in planned upgrades. Production capacity is expected to increase to 175 million board feet per year.
“The El Dorado mill is an important part of the regional forest ecosystem. Together with Canfor’s adjacent El Dorado Laminating Plant and nearby Urbana Plant, this acquisition aligns with our growth-focused strategy in areas with access to high-quality globally competitive timber supply,” said Lee Goodloe, President of Canfor Southern Pine. “The talented team at the mill is one of the many reasons that we pursued this opportunity, and we look forward to welcoming them to the Canfor team.”
