Glatfelter announced the closing of the previously announced sale of its Specialty Papers Business Unit to Pixelle Specialty Solutions LLC, an affiliate of Lindsay Goldberg for $360 million.
Cash proceeds from the sale were approximately $323 million reflecting estimated purchase price adjustments as of the closing date and the assumption by the purchaser of approximately $38 million of retiree healthcare liabilities.
Pixelle Specialty Solutions LLC price is subject to a customary post-closing working capital adjustment as well as an adjustment for the final measurement of retiree healthcare liabilities. In addition, Pixelle Specialty Solutions LLC assumed approximately $220 million of pension liabilities relating to Specialty Papers’ employees and will receive approximately $270 million of related assets from the Company’s existing pension plan.
The cash proceeds from the transaction will be used to pay down debt and for general corporate purposes.
Glatfelter is a leading global supplier of engineered materials.
