Catalyst Paper announced on Friday that it plans to sell paper mills in Wisconsin and Maine to a subsidiary of Chinese Paper company Nine Dragons, according to local reports.
Reports said Nine Dragons would pay 175 million U.S. dollars for the two mills and it had no immediate plans for changes after the deal is closed in the second quarter.
Ned Dwyer, Catalyst president and CEO, said the sale of the company's U.S. assets allows it to pay down debt and focus on operations in British Columbia, according to reports.
"Our focus right now is on continuing current operations and conducting business as usual on a day-to-day basis," spokeswoman Kelly Karr said.
The paper mills in Wisconsin and Maine employ nearly a thousand local workers. Reports said there will be no layoffs at the mills.
Nine Dragons' main focus is on environmentally friendly recycled paper, but it also operates conventional pulp mills like those in Maine and Wisconsin that it is purchasing.
In the future, Nine Dragons said it plans to invest in packaging paper and pulp products to keep both of the mills competitive.
Reports said Nine Dragons would pay 175 million U.S. dollars for the two mills and it had no immediate plans for changes after the deal is closed in the second quarter.
Ned Dwyer, Catalyst president and CEO, said the sale of the company's U.S. assets allows it to pay down debt and focus on operations in British Columbia, according to reports.
"Our focus right now is on continuing current operations and conducting business as usual on a day-to-day basis," spokeswoman Kelly Karr said.
The paper mills in Wisconsin and Maine employ nearly a thousand local workers. Reports said there will be no layoffs at the mills.
Nine Dragons' main focus is on environmentally friendly recycled paper, but it also operates conventional pulp mills like those in Maine and Wisconsin that it is purchasing.
In the future, Nine Dragons said it plans to invest in packaging paper and pulp products to keep both of the mills competitive.
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