Ainsworth Lumber Co Ltd has successfully completed its recapitalisation transaction, reducing its debt burden by US$464m and raising US$200 through the issuance of new unsecured notes.
The Canadian forest products comany has issued 100 million new common shares to holders of former common shares and senior unsecured notes. They were posted for trading on the Toronto Stock Exchange on August 1.
A new board of directors has been appointed as part of the recapitalisation, with Robert Allen, chief financial officer, appointed as interim chief executive officer while the company searches for a permanent figure.
Ainsworth has also made seven board committee appointments, with Jay Gurandiano becoming chairman of the board and a member of the compensation committee, Paul Houston named chairman of the compensation committee, Robert Chadwick joining the corporate governance committee, Morley Koffman joining the audit committee, John Lacey named chairman of the corporate governance committee and a member of the audit committee, Gordon Lancaster put in place as chairman of the audit committee and Jonathan Mishkin now sitting on the corporate governance and compensation committees.
“With the company’s new capital structure and enhanced liquidity, the company is now in a strong position to face the challenges in the OSB industry and to focus on continuing to build on our reputation as one of North America’s leading providers of engineered wood products,” said Mr Allen.
