Rayonier Advanced Materials vows to ‘come to bat’ for Tembec in softwood battle
MONTREAL — Rayonier Advanced Materials will “come to bat” to protect the interests of Tembec in the cross-border battle over softwood lumber, the head of the Florida-based company said Thursday after announcing a friendly takeover of the Quebec forestry firm.
The deal, valued at US$807 million including debt, would see the merged entity keep a Canadian headquarters in Montreal, with the main corporate office in Jacksonville, Fla.
“We’ll be supportive of whatever works best for Quebec, Ontario and our position here,” Paul Boynton, chairman and CEO of Rayonier Advanced Materials, told a news conference in Montreal after the transaction was announced.
The transaction comes as Tembec, like other Canadian forestry companies, finds itself in the crosshairs of the U.S. over softwood lumber. Last month, it and other firms were slapped with a 19.88 per cent retroactive preliminary duty on softwood shipments south of the border.