An investment company has agreed to acquire Weyerhaeuser’s worldwide hardwoods and industrial products business for an undisclosed sum.
American Industrial Partners (AIP) has entered into a definitive agreement to buy Northwest Hardwoods, which operates seven primary sawmills, four remanufacturing plants and four log concentration yards in the US.
AIP said the Northwest Hardwoods name had been the recognised gold standard in hardwood products for nearly 40 years.
It believes the business is well positioned to capitalise on future improvements to the new housing industry and RMI sector.
“As these depressed markets improve in the years ahead, the company is well positioned to meet the demand with its excellent hardwood timber supply relationships and extensive, modern and low cost manufacturing footprint,” said Joel Stanwood of AIP.
The transaction is expected to close in August. The future business will operate as Northwest Hardwoods, Inc, headquartered in Tacoma, Washington state, with operations in the US, Canada, China, Japan and Hong Kong.
Northwest Hardwoods, which has 1,000 employees, manufactures and sells 15 species of hardwood lumber, specialising in alder, oak, maple, cherry, walnut, ash and hickory.
“We very much look forward to partnering with the American Industrial Partners team,” said Nancy Arend, vice-president of Northwest Hardwoods.
“We have developed a go forward operating agenda focused on expanding our customer base and geographic sales regions, implementing manufacturing best practices and continuing to enhance our market leading cost position on a global basis.”
