Stella-Jones to acquire Cahaba Pressure Treated Forest Products
Stella-Jones, a Canadian logging company, has agreed to acquire Cahaba Pressure Treated Forest Products through its US subsidiary for $66 million.
Cahaba Pressure Treated Forest Products is engaged in manufacturing, distributing, and selling treated and untreated wood poles, posts, and crossties. The company offers custom treating services by mainly using creosote, pentachlorophenol, and copper naphthenate at its wood treating facility in Brierfield, Alabama.
The consolidated sales of Cahaba Pressure Treated Forest Products in 2020 were around $56 million.
Eric Vachon — President and CEO of Stella-Jones said: “This acquisition will enhance Stella-Jones’ offerings and expand our capability to supply the needs of North America’s utility pole industry.
“The addition of Cahaba Pressure will add to our capacity, further support the preservative offering to our customers and optimize the overall efficiency of our continental network”.
The deal, which is subject to customary closing conditions, is slated to close by the end of next month.