Canadian newsprint and magazine paper producer Catalyst Paper has entered into an agreement to purchase two US paper mills from NewPage for $74.0m.
Completion of the transaction is subject to certain closing condition, among others the completion of the previously announced acquisition by Verso Paper Corp of NewPage Holdings and certain regulatory approvals. The transaction would increase Catalyst’s production capacity by approximately 65 per cent or 995,000 tpy.
The Biron mill has 355,000 tpy capacity LWC and ULWC. The Rumford mill hat 510,000 tpy capacity for coated specialty, coated freesheet and coated groundwood paper, and 130,000 tpy Kraft market pulp.
