Mercer International Inc. (Nasdaq: MERC) has announced that it has received approval from the applicable Bankruptcy Court for a sales Order approving the acquisition by its wholly-owned subsidiary of a state-of-the-art cross-laminated timber (CLT) manufacturing facility located in Spokane, Washington, for a price of US$50 million, subject to customary adjustments. The closing of the sale is scheduled to occur shortly.
- The facility is located on 54 acres of land near Spokane, has an area of about 270,000 sq ft and is equipped with state-of-the-art extensive automation technologies including one of the largest CLT presses in the world. It also has capacity of approximately 13 million sq ft of five-ply panels annually or 140,000 cubic meters of annual production based on five-day operations, and represents about 30% of the current North American mass timber manufacturing capacity.
David Gandossi, Chief Executive Officer of the Company stated: “We are very pleased with our impending acquisition of the Facility. It represents an attractive entry point for us into the CLT business with a near new state-of-the-art facility,” said David Gandossi, Chief Executive Officer of Mercer. “It fits well with our strategy to expand in the solid wood products space and aligns with a core value to provide sustainable and carbon reducing alternatives for a warming planet.”