First Quality Announces Purchase of Domtar's Dryden Mill
Great Neck, NY - February 28, 2023 — First Quality Enterprises, Inc. (First Quality) and Domtar Corporation (Domtar), a wholly-owned subsidiary of the Paper Excellence Group (Paper Excellence), today announced that they have entered into a definitive agreement for First Quality to acquire Domtar's pulp mill located in Dryden, Ontario, Canada (Dryden Mill). The Dryden Mill produces high quality Northern Bleached Softwood Kraft (NBSK) pulp for customers in North America.
Jim Dodge, Chief Financial Officer of First Quality, said, "First Quality saw this as an excellent strategic investment given the knowledgeable leadership team, premium quality NBSK coming from the mill, and the access and availability to high quality fiber supplies long term. We look forward to partnering with the existing mill team members, customers, suppliers, and community stakeholders to continue the mill's successful history of local engagement and economic development"
The transaction, expected to close in the third quarter of 2023, is subject to customary closing conditions, including receipt of required regulatory approvals.
Wachtell, Lipton, Rosen & Katz, and Osler, Hoskin & Harcourt LLP are acting as legal advisors to First Quality
BMO Capital Markets is acting as exclusive financial advisor to Domtar, and McCarthy Tétrault LLP, and McMillan LLP are acting as legal advisors.
About First Quality
The First Quality family of companies is a closely held, diversified group of companies manufacturing, selling and distributing branded and private label absorbent hygiene, paper and packaging products into the healthcare, retail and commercial channels. First Quality is dedicated to meeting the demands of the market by providing innovative and high-quality products manufactured utilizing state-of-the art technology. For more information, please visit www.firstquality.com.
Domtar is a leading provider of a wide variety of fiber-based products including communication, specialty and packaging papers, market pulp and airlaid nonwovens. With approximately 5,800 employees serving more than 50 countries around the world, Domtar is driven by a commitment to turn sustainable wood fiber into useful products that people rely on every day. Domtar's principal executive office is in Fort Mill, South Carolina and Domtar is part of the Paper Excellence group of companies. To learn more, visit www.domtar.com.
To view Domtar's Media Release, please click here:
English release: http://ow.ly/mS8y50N4SA8
French release: http://ow.ly/V6tJ50N4SAa
About Paper Excellence
The Paper Excellence Group is a privately-held holding company that oversees individual pulp and paper business units. Its operations include the manufacturing of pulp and specialty, printing and writing, and packaging papers, producing over 7 million tons annually with a workforce of over 10,000 in its nearly 40 locations across the Americas and Europe. For more information on Paper Excellence, please visit www.paperexcellence.com.