Thunder Bay – Business- Resolute Forest Products Inc., a subsidiary of Domtar Corporation and part of the Paper Excellence Group, has successfully finalized the sale of the Thunder Bay pulp and paper mill. The transaction, completed on August 1, 2023, was carried out in accordance with the terms of the asset purchase agreement dated May 26, 2023, to an affiliate of Atlas Holdings.
Completion of Sale to Atlas Holdings Affiliate
Resolute Forest Products announced today the successful completion of the sale of its Thunder Bay pulp and paper mill to an affiliate of Atlas Holdings. The sale was executed in compliance with the asset purchase agreement signed on May 26, 2023, marking a significant step in Resolute’s strategic moves to optimize its operations.
Resolute’s Continued Operations in Northwestern Ontario
While the sale includes the Thunder Bay pulp and paper mill, Resolute Forest Products reassures its commitment to continue its sawmills and woodlands operations in Northwestern Ontario. The company aims to maintain a strong presence in the region and uphold its legacy in the forestry industry.
Ancillary Agreements Secured for Long-Term Woodchip and Biomass Supply
In conjunction with the completion of the transaction, Resolute and the acquiring party have entered into ancillary agreements, including a vital long-term woodchip and biomass supply agreement. This agreement ensures that Resolute will continue to provide chips and biomass to the Thunder Bay mill, facilitating the uninterrupted flow of resources to support ongoing operations.
Compliance with Consent Agreement and Canadian Competition Tribunal Review
The sale of the Thunder Bay pulp and paper mill was a requirement under the consent agreement established between Domtar Corporation and the Canadian Commissioner of Competition. The agreement was registered with the Canadian Competition Tribunal as part of the review process for Domtar Corporation’s recent acquisition of Resolute. Resolute Forest Products has successfully met the necessary conditions set forth in the consent agreement, allowing for the smooth transition of ownership to the Atlas Holdings affiliate.
This strategic transaction positions Resolute Forest Products to focus on its core operations and optimize its business strategy while ensuring the continued success of the Thunder Bay mill under new ownership.
For more information about Resolute Forest Products and its operations, please visit www.resolutefp.com.