SPOKANE, Wash.--(BUSINESS WIRE)--
Clearwater Paper Corporation (NYSE:CLW) today announced it has
acquired Manchester Industries of Richmond, Virginia, a leading,
independently-owned paperboard sales, sheeting and distribution supplier
to the packaging and commercial print industries.
Clearwater Paper has acquired Manchester Industries in a cash
transaction from PaperWorks Industries, an integrated full-service
packaging provider for a purchase price of $68.25 million. With
approximately 170 full-time employees, Manchester Industries operates
five facilities located in Richmond, Virginia; Wilkes-Barre,
Pennsylvania; Hagerstown, Indiana; Dallas, Texas and Mendon, Michigan.
Clearwater Paper believes the acquisition will be immediately accretive.
"Manchester Industries offers an excellent range of converting services
that include custom sheeting, slitting, and cutting," said Linda
Massman, president and CEO of Clearwater Paper. "These five plants are
expected to be a valuable asset for Clearwater Paper as we look to
extend our reach and service platform to the small and mid-sized folding
carton plants. On behalf of Clearwater Paper, we welcome Manchester
Industries employees to our team."
FBR Capital Markets & Co., led by Matthew Spain, advised Clearwater
Paper on the acquisition. Pillsbury Winthrop Shaw Pittman LLP acted as
legal advisor to Clearwater Paper.
ABOUT CLEARWATER PAPER
Clearwater Paper manufactures quality consumer tissue, away-from-home
tissue, parent roll tissue, bleached paperboard and pulp at
manufacturing facilities across the nation. The company is a premier
supplier of private label tissue to major retailers and wholesale
distributors, including grocery, drug, mass merchants and discount
stores. In addition, the company produces bleached paperboard used by
quality-conscious printers and packaging converters. Clearwater Paper's
employees build shareholder value by developing strong customer
partnerships through quality and service.
ABOUT PAPERWORKS INDUSTRIES, INC.
Founded in 2008, PaperWorks Industries, Inc. (PWI) is a leading,
integrated North American full-service packaging provider of recycled
paperboard and specialized folding cartons. The company is committed to
the highest sustainable forestry and procurement standards. Product
certifications include the Forest Stewardship Council, Sustainable
Forestry Initiative and the Programme for the Endorsement of Forestry
Certification. For more information: www.paperwrks.com.
FORWARD-LOOKING STATEMENTS
This press release contains certain forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of 1995 as
amended, including statements regarding the value of Manchester
Industries and the extension of our reach to small and mid-sized folding
carton plants. These forward-looking statements are based on current
expectations, estimates, assumptions and projections that are subject to
change, and actual results may differ materially from the
forward-looking statements. Factors that could cause actual results to
differ materially include, but are not limited to, risks and
uncertainties arising from competitive pricing pressures for the
company's products, including as a result of increased capacity as
additional manufacturing facilities are operated by the company's
competitors; changes in the U.S. and international economies and in
general economic conditions in the regions and industries in which the
company operates; changes in customer product preferences and
competitors' product offerings; the loss of or changes in prices in
regards to a significant customer; cyclical industry conditions; changes
in the cost and availability of wood fiber and wood pulp; inability to
successfully implement the company's operational efficiencies and
expansion strategies; changes in transportation costs and disruptions in
transportation services; customer acceptance, timing and quantity of
purchases of the company's tissue products; changes in costs for and
availability of packaging supplies, chemicals, energy and maintenance
and repairs; environmental liabilities or expenditures; manufacturing or
operating disruptions, including IT system and IT system implementation
failures, equipment malfunction and damage to the company's
manufacturing facilities; changes in expenses and required contributions
associated with the company's pension plans; reliance on a limited
number of third-party suppliers for raw material; and other risks and
uncertainties described from time to time in the company's public
filings with the Securities and Exchange Commission. The forward-looking
statements are made as of the date of this press release and the company
does not undertake to update any forward-looking statements.
View source version on businesswire.com: http://www.businesswire.com/news/home/20161216005765/en/
Clearwater Paper Corporation
News media:
Matt Van Vleet,
509-344-5912
or
Investors:
Robin Yim, 509-344-5906
Source: Clearwater Paper Corporation
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