US forest products company Rayonier is to sell its New Zealand MDF business for US$40m.
The operation will be sold to Dongwha Hong Kong International Ltd by the close of the third quarter, subject to approval by the New Zealand Overseas Investment Commission.
Rayonier intends to focus on its core timber, real estate and performance fibres businesses.
The company recently announced it had formed part of an international consortium to buy 235,000 acres of New Zealand timberland for about US$296m. The consortium has agreed to buy Rayonier’s 118,000 acres of timberland assets in the country for about US$184m.
