UFP Industries Closes on Acquisition of Florida-based PalletOne Assets

SEATTLE (Scrap Monster):  UFP Industries, Inc. announced that it has closed on its agreement to purchase 100% of the equity of Florida-based PalletOne. The agreement towards purchase of the assets for a sum of approximately $232 million was signed during early-December this year. In addition, the company has agreed to pay $21 million towards PalletOne’s recent capital expenditure and other investments.

Commenting on the development, Scott Worthington, president of UFP Industrial noted that he is excited to welcome the PalletOne team to the UFP family of companies. UFP will focus on executing PalletOne’s strategy, while realizing the operating benefits and synergies of the respective organizations. The PalletOne management team, including President Howe Wallace, will continue to lead the company, he added.

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Established in 2001, PalletOne operates 17 locations spread across 9 states. Its operations also include Sunbelt Forest Products Corporation and SunOne Logistics. Altogether, it employs more than 1,500 people across 22 locations. The combined operations had reported sales and adjusted EBITDA of $525 million and $37 million respectively during 2019.

The acquisition, sixth by UFP Industries during the current year, is expected to bolster its position as the nation’s preferred supplier of industrial packaging and pressure-treated lumber.