West Fraser Timber Signs New $150 Million Credit Facility

SEATTLE (Scrap Monster): West Fraser Timber Company Ltd. announced that it has obtained additional $150 million committed revolving credit facility from a syndicate of lenders. The facility will be used for general corporate purposes, said the company press release.

The committed facility has a term of two years. The terms and conditions remain almost the same as the company’s existing syndicated revolving credit facility. With this, the company’s cash on hand and availability under its revolving credit facilities now totals approximately $444 million.

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Ray Ferris, President and CEO of West Fraser noted that the additional liquidity on top the company’s strong balance sheet will help it to further strengthen its ability to weather the impacts of COVID-19 pandemic.

Also, West Fraser announced that it has adopted a shareholder rights plan effective April 9, 2020, as part of efforts to ensure fair treatment to all shareholders in connection with any take-over bid for the company. This is subject to shareholders’ ratification within six months of its adoption. The plan, along with the outstanding rights will terminate and cease to be effective, if not approved within this period.