Georgia-Pacific to buy Buckeye Technologies
by Associated Press Wire
April 24, 2013 11:15 AM | 184 views | 0 0 comments | 2 2 recommendations | email to a friend | print

ATLANTA (AP) — Georgia-Pacific said Wednesday that it reached a deal to buy Buckeye Technologies Inc. for about $1.46 billion.

The privately held Atlanta-based paper, packaging and building products company said it will buy all of Buckeye's common stock for $37.50 per share.

The price represents a 25 percent premium over Buckeye's Tuesday closing stock price. Its shares jumped $7.58, or 25.3 percent, to $37.51 in morning trading.

Memphis, Tenn.-based Buckeye makes and markets specialty fibers and nonwoven materials made from wood and cotton. Its products are used in personal hygiene products, disposable diapers, engine air and oil filters, napkins, cleaning supplies, baby wipes and a series of other goods. Georgia-Pacific said the company's products complement its own and expand its offerings.

Buckeye operates mills in the U.S. and Germany and employs about 1,200 people.

The companies valued the deal at about $1.5 billion, including debt.

The deal remains subject to regulatory approvals and Georgia-Pacific LLC's acquisition of at least 75 percent of Buckeye's shares through a tender offer.



Copyright 2013 The Associated Press.

Comments
(0)
Comments-icon Post a Comment
No Comments Yet
*We welcome your comments on the stories and issues of the day and seek to provide a forum for the community to voice opinions. All comments are subject to moderator approval before being made visible on the website but are not edited. The use of profanity, obscene and vulgar language, hate speech, and racial slurs is strictly prohibited. Advertisements, promotions, spam, and links to outside websites will also be rejected. Please read our terms of service for full guides