Northwest Hardwoods reportedly put up for sale, with industry insiders saying sale price for former Weyerhaeuser hardwoods business could reach US$700M in current market conditions
Audrey Dixon
LOS ANGELES
,
April 28, 2014
(Industry Intelligence Inc.)
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Northwest Hardwoods Inc. has been put up for sale by its owner, private equity firm American Industrial Partners, according to industry insiders, the Wall Street Journal (WSJ) reported on April 25.
New York-based American Industrial Partners acquired Northwest Hardwoods from Weyerhaeuser Co. in 2011 in the midst of an unstable market.
Weyerhaeuser completed the sale of its hardwoods business to New York-based American Industrial Partners in August 2011 for total proceeds of about US$108 million. In an Aug. 2, 2011 press release, Weyerhaeuser listed the assets included in the sale as those located in Tuscumbia, Alabama; Elkhart, Indiana; Grand Rapids and Lewiston, Michigan; Brainerd, Minnesota; Coos Bay, Eugene and Garibaldi, Oregon; Titusville, Pennsylvania; Arlington, Centralia and Longview, Washington; and Dorchester and Onalaska, Wisconsin.
The insiders say the Tacoma, Washington-based business could fetch about US$700 million in the much-improved market conditions, according to the WSJ.
Bankers at the Goldman Sachs Group Inc. have been hired to market the sale.
The primary sources of this article are the Wall Street Journal (Bloomberg), New York, on Apr 25, 2014, and Industry Intelligence archives. The original WSJ article can be found here.
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