Conifex Timber, based in Vancouver, BC, has completed its purchase of a private Delaware company holding exclusive rights to a sawmill and 186 acres of land near El Dorado, AR, said Woodworking Network also Monday. The rights to the Arkansas property was acquired for US$21 million.
The deal, announced Aug. 6, comprised US$12.36 million in cash and US$8.64 million in vendor mortgage. Conifex CEO Ken Shields explained uncertainties in softwood lumber supply spurred the acquisition, with the Softwood Lumber Agreement between Canada and the United States set to expire in October.
Conifex said it is completing a review of the site for capital upgrades, while determining a timeline for also rebuilding the Mackenzie Site I mill in British Columbia.
