Nov 17, 2011. /Lesprom Network/. Conifex Timber Inc. has, through a wholly-owned subsidiary, entered into a definitive agreement to acquire the commodity lumber distribution business owned and operated by Welco Lumber Corp. and the transportation and logistics business owned and operated by Navcor Transportation Services Inc, as the company said in a press release received by Lesprom Network. The lumber distribution business to be acquired by Conifex consists of all of Welco's assets related to its commodity dimensional lumber distribution business, other than certain current assets, and any assets of Marathon Forest Products Ltd., which will be retained by Welco. Conifex also intends to enter into employment agreements with certain of Welco's key employees in the commodity lumber distribution business prior to closing. Additionally, pursuant to the agreement, Conifex will indirectly acquire Navcor's transportation and logistics business by acquiring from Welco all of the issued and outstanding shares of Navcor on closing. Under the terms of the Agreement, Conifex shall pay to Welco an aggregate of $1,576,476 and the book value of certain specified inventory, as well as the payment of certain commissions for a period of three-years following closing as specified in the agreement. Welco and Navcor, both private British Columbia companies, have provided lumber marketing and logistics services to Conifex on a contract basis since March 2009. Navcor is a wholly-owned subsidiary of Welco. Brad Johansen, a director of Conifex, is also the president, CEO and a director of Welco. The transaction is expected to close on or before December 31, 2011, subject to customary closing conditions. Conifex and its subsidiaries' primary business currently includes timber harvesting, reforestation, forest management, sawmilling logs into lumber and wood chips, and value added lumber finishing. Conifex's lumber products are sold in the United States, Chinese, Canadian and Japanese markets.