Boise Cascade Company has completed the acquisition of Georgia-Pacific LLC’s engineered lumber production facilities located at Thorsby, Alabama and Roxboro, North Carolina for $215 million including closing date estimated working capital of $25 million which is subject to final adjustment.

Boise Cascade completes engineered lumber acquisition from Georgia-Pacific LLC

15:19 / April 1, 2016

Apr 02, 2016. /Lesprom Network/. Boise Cascade Company has completed the acquisition of Georgia-Pacific LLC’s engineered lumber production facilities located at Thorsby, Alabama and Roxboro, North Carolina for $215 million including closing date estimated working capital of $25 million which is subject to final adjustment. The Company used $90 million of its cash and $130 million in new borrowing to pay for the transaction and closing-related expenses.

The Thorsby facility produces laminated veneer lumber (LVL) while the Roxboro facility currently produces I-joists.

Roxboro’s LVL production assets are currently idled.

Boise Cascade expects to invest capital and hire additional employees to increase production at these mills in 2016 and beyond to obtain significant logistics benefits as well as to meet expected growth in new residential construction.

The Company believes the addition of Thorsby and Roxboro will increase LVL billet capacity by 9 million cubic feet and I-joist capacity by 80 million lineal feet and expects the acquisition to add approximately $40 million to the company’s mid-cycle EBITDA.

Boise Cascade is one of the largest producers of plywood and engineered wood products in North America and a leading U.S. wholesale distributor of building products.

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Boise Cascade completes engineered lumber acquisition from Georgia-Pacific LLC

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