BlueLinx Holdings Inc. has completed the sale of its Jackson, Mississippi; Little Rock, Arkansas; and Shreveport, Louisiana facilities, for aggregate net proceeds of approximately $1.9 million, as the company said in the press release received by Lesprom Network.
In addition to these property sales, the Company has six other non-operating facilities under contract with various purchasers in transactions expected to generate in excess of approximately $30 million of aggregate net proceeds before year-end, subject to satisfaction of customary closing conditions.
The Company also continues to actively market several Company-owned operating facilities for possible sale leaseback transactions as part of the Company’s real estate sale optimization efforts.
The net proceeds arising out of these real estate efforts are being used to pay down the Company’s mortgage. There can be no assurance, however, that any of these pending or potential sales will close on favorable terms, or at all.
“Earlier this year we announced an initiative to reduce the Company’s financial leverage and improve our working capital performance. We are pleased to share that we are continuing to successfully execute on our strategy to deleverage BlueLinx by reducing our mortgage as a result of these transactions,” said Mitch Lewis, President and CEO.
BlueLinx Holdings Inc., operating through its wholly owned subsidiary BlueLinx Corporation, is a leading distributor of building products in the United States.
