Boise Cascade (BCC - Get Report) agreed to buy OfficeMax (OMX) for $1.15 billion and said it plans to de-emphasize its forest products and paper operations and focus primarily on the office-supply market.
The 30%-cash, 70%-stock offer comes out to $9 a share and was approved by both boards. OfficeMax closed at $7.18 on Friday.
In a release, Boise said it hired Goldman Sachs to help it evaluate strategic alternatives its paper and building products businesses, and expects to "take appropriate steps" 12 to 18 months after closing the OfficeMax acquisition, which is expected to occur in the fourth quarter.
OfficeMax, which engineered an extensive restructuring two years ago and only recently returned to profitability, owns about 970 superstores in the U.S. Boise Cascade's small office-supply unit operates primarily in Canada.