RFP completes acquisition of Florida-based tissue manufacturer

SPOKANE (Scrap Monster): Resolute Forest Products (RFP) today announced that it has closed the acquisition of Atlas Paper Holdings, Inc., Florida-based manufacturer of tissue products. The transaction, including working capital, is valued at $156 million. The deal is considered as part of RFP’s efforts to diversify its operations in an attempt to offset the declining demand for newsprint and commercial paper.

According to Richard Garneau, President and CEO of Resolute Forest Products, the acquisition will help the company to utilize the strong US pulp network by optimizing Atlas’ pulp supply. It will also help to integrate Atlas Paper’s tissue expertise into the ongoing Calhoun tissue project which is expected to go online in early-2017. The acquisition will also help the company to offer greater range of products to existing and future customers.

Meantime, Jim Brown, President and CEO of Atlas Paper Holdings, Inc. noted that the deal gives unique opportunity for the company to become part of a larger, diversified company. The Atlas team could bring market knowledge and expertise to the joint entity, thereby helping to meet the common business objectives.

Atlas Paper Holdings, Inc. is a manufacturer of branded and private label tissue products. The company operates three tissue machines, with an annual production capacity of approximately 65,000 short tons and has around 360 employees.

Resolute Forest Products is a global leader in the forest products industry with a diverse range of products, including newsprint, specialty papers, market pulp and wood products. The company owns or operates some 40 pulp and paper mills and wood products facilities in the United States, Canada and South Korea, and power generation assets in Canada.