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Weyerhaeuser completes sale of cellulose fibers pulp mills to International Paper

Staff Writer |
Weyerhaeuser Company completed the sale of its Cellulose Fibers pulp mills to International Paper for $2.2 billion in cash.

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Weyerhaeuser expects to use a substantial portion of the $1.6 billion after-tax proceeds for repayment of debt.

The sale, which was announced in May 2016, includes five pulp mills located in Columbus, Miss.; Flint River, Ga.; New Bern, N.C.; Port Wentworth, Ga. and Grand Prairie, Alberta, with a combined total annual operating capacity of about 1.9 million metric tons.

The sale also includes two modified fiber mills in Columbus, Miss. and Gdansk, Poland.

This transaction completes the divestiture of Weyerhaeuser's Cellulose Fibers business, which resulted from the company's strategic review initiated in November 2015.

Earlier this year, the company completed the sale of its liquid packaging board business to Nippon Paper Industries Co., Ltd. and the sale of its publishing papers business to One Rock Capital Partners, LLC.

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