Rayonier Advanced Materials Announces Sale of Resins Business
JACKSONVILLE, Fla.–(BUSINESS WIRE)–Rayonier Advanced Materials Inc. (NYSE: RYAM) (the “Company”) announced
today that it has sold its resins business to LRBG Chemicals, a company
to be led by the current resins business management team, for a purchase
price of approximately $16.5 million. The business, with manufacturing
locations in Longueuil, Quebec and Toledo, Ohio, produces chemical
resins used in the manufacturing of oriented strand board (OSB),
hardboard and other engineered wood products. The business was
originally acquired as part of the Company’s acquisition of Tembec in
November of 2017.
“The sale of resins business allows us to divest a non-core
petroleum-based chemical asset. Further, it provides our stockholders
with a fair value and incremental cash to be redeployed through our
capital allocation process focused on risk adjusted returns,” said Paul
G. Boynton, Chairman, President and Chief Executive Officer of Rayonier
Advanced Materials. “I want to personally thank the resins management
team and employees for their dedicated work at Rayonier Advanced
Materials. I wish them well as they begin a new chapter as a standalone
About Rayonier Advanced Materials
Rayonier Advanced Materials is a global leader of cellulose-based
technologies, including high purity cellulose specialties, a natural
polymer commonly found in cell phones, computer screens, filters and
pharmaceuticals. The Company also manufactures products for
lumber, paper and packaging markets. With manufacturing
operations in the U.S., Canada and France, Rayonier Advanced Materials
employs approximately 4,200 people and generates approximately US$2
billion of pro forma revenues. More information is available at www.rayonieram.com.
Certain statements in this document regarding anticipated financial,
business, legal or other outcomes including business and market
conditions, outlook and other similar statements relating
to Rayonier Advanced Materials’ or LignoTech Florida’s future or
expected events, developments or financial or operational performance or
results, are "forward-looking statements" made pursuant to the safe
harbor provisions of the Private Securities Litigation Reform Act of
1995 and other federal securities laws. These forward-looking statements
are identified by the use of words such as "may," "will," "should,"
"expect," "estimate," "believe," "intend," "anticipate" and other
similar language. However, the absence of these or similar words or
expressions does not mean that a statement is not forward-looking. While
we believe these forward-looking statements are reasonable when made,
forward-looking statements are not guarantees of future performance or
events and undue reliance should not be placed on these statements.
Although we believe the expectations reflected in any forward-looking
statements are based on reasonable assumptions, we can give no assurance
these expectations will be attained and it is possible that actual
results may differ materially from those indicated by these
forward-looking statements due to a variety of risks and uncertainties.
Other important factors that could cause actual results or events to
differ materially from those expressed in forward-looking statements
that may have been made in this document are described or will be
described in our filings with the U.S. Securities and Exchange
Commission, including our Annual Report on Form 10-K and Quarterly
Reports on Form 10-Q. Rayonier Advanced Materials assumes no obligation
to update these statements except as is required by law.
Rayonier Advanced Materials Inc.
Ryan Houck, 904-357-9134