ND Paper acquires Resolute Fairmont mill
ND Paper LLC, a wholly-owned subsidiary of Nine Dragons Paper (Holdings) Ltd., will buy Resolute Forest Products Inc.’s recycled bleached kraft pulp mill in Fairmnt, WV, for about $US55 million cash. Nine Dragons plans to fund the acquisition through existing cash on its balance sheet.
Ken Liu, CEO of ND Paper said the acquisition “enables us to further our US and global growth, and sustains the momentum commenced by our recent acquisitions of the Biron, Wisconsin, and Rumford, Maine pulp and paper mills acquired from Catalyst Paper in Q22018. Not only is this transaction consistent with our long-term strategy of environmentally-sustainable papermaking, but also it further supports Nine Dragons’ company-wide fiber sourcing requirements and global growth initiatives.”
Fairmont manufactures and distributes recycled pulp. Its capacity is about 218,000 tonnes; it is one of three pulp mills in the world that produce air-dried recycled pulp.
Closing of the sale is expected by the end of October.
Nine Dragons is the largest containerboard producer in China and Asia. It produces linerboard, high-performance corrugating medium, coated duplex board, as well as recycled printing and writing paper and specialty paper. It operates nine mills and 39 machines with total capacity of over 14 million tonnes/y.