Mar 02, 2009. /Lesprom Network/. International Paper plans to divest approximately 143 thousand acres of properties located in the southeastern United States in a transaction with American Timberlands Fund I, LP (the "Partnership"), as the International Paper informed Lesprom Network. The transaction value is approximately $275 million. International Paper will sell approximately 114 thousand acres to the Partnership for $220 million in cash and will contribute 29 thousand acres, with a value of $55 million, in exchange for a 20% interest in the Partnership. The transaction value is subject to various adjustments at closing and is contingent upon the Partnership raising $220 million to finance the transaction. The transaction is expected to close in mid-June. "This was an attractive opportunity, and we intend to use the proceeds received at closing to pay down debt," said John Faraci, International Paper's Chairman and CEO. "This is consistent with our commitment to strengthening our balance sheet and maintaining our financial flexibility." International Paper is a global paper and packaging company with manufacturing operations in North America, Europe, Latin America, Russia, Asia and North Africa. American Timberlands Co. is a vertically integrated land investment management firm organized for the purpose of identifying, creating and managing land investments composed of timberland with diverse value components.