Weyerhaeuser Announces Montana Timberlands Sale for $145 Million

SEATTLE (Scrap Monster): Weyerhaeuser Company announced that it has reached an agreement to sell its Montana timberlands to a private timberland investment company. The deal worth $145 million in cash will involve sale of around 630,000 acres of timberland in the region. The transaction is expected to get completed in Q2 next year, subject to customary closing conditions.

The company, in a press release, noted that the announcement will not impact the operations of its three manufacturing facilities in Montana region. Further, it foresees these manufacturing operations to deliver strong results in the upcoming years and continue its support to the communities where they operate.

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Commenting on the transaction, Devin W. Stockfish, president and chief executive officer of Weyerhaeuser noted that the sale of Montana timberlands is part of the company’s ongoing effort to strategically optimize its timberland portfolio. The transaction includes a diverse mix of softwood species and an existing 110,000-acre conservation easement. The transaction is likely to generate minimal tax liability, he added.

Earlier in November this year, the company had announced that it completed the sale of approximately 550,000 acres of timberland in northern Michigan region for a sum of $300 million in cash. The company’s Michigan timberlands were sold to Lyme Great Lakes Holding LLC.