Graphic Packaging to Sell Augusta Paperboard Mill in Georgia to Clearwater Paper
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Graphic Packaging Holding Company and Clearwater Paper Corporation, announced that Graphic Packaging has signed a definitive agreement to sell its Augusta, Georgia bleached paperboard manufacturing facility to Clearwater Paper.
The transaction value is approximately $700 million, based on Adjusted EBITDA of approximately $100 million.
"Augusta is an outstanding asset with a great team, which we concluded is a more compelling fit with Clearwater Paper's strategic growth plans than our own," said Michael Doss, President and Chief Executive Officer of Graphic Packaging. "Bleached paperboard plays a major role in sustainable consumer packaging, and we will continue to service growing foodservice and packaging demand with bleached paperboard from our Texarkana facility."
Arsen Kitch, CEO of Clearwater Paper, added, "Augusta is a great fit with our strategy and improves our position as a premier, independent paperboard supplier to North American converters. I look forward to welcoming the Augusta team to Clearwater Paper as we work together to build a more scaled paperboard business to service our customers."
The transaction is subject to regulatory approvals and is currently expected to close in the second quarter of 2024.
