Wood Resources LLC today announced that it has entered into an agreement to sell its Southeast operations, which include Chester Wood Products and Moncure Plywood, to Boise Cascade Company (NYSE: BCC), a leading wood products manufacturer and building materials distributor in North America. The sale is expected to be completed in the third quarter.
Chester Wood Products, based in Chester, South Carolina, produces softwood plywood panels and veneer for a variety of end markets. Moncure Plywood, based in Moncure, North Carolina, is a flexible specialty plywood mill that produces both hardwood and softwood panels.
“We believe Boise Cascade will continue the progress that Wood Resources has made with our Chester and Moncure operations. In addition, we are pleased that our employees will become associates of a well-respected organization like Boise Cascade,” said Richard Yarbrough, Chairman of Wood Resources. “At the same time, we look forward to focusing our efforts and investment on our two plywood operations in the Pacific Northwest, where we are committed to providing our customers with high-quality wood panel and veneer products.”
Tom Carlile, Boise Cascade CEO, commented that the addition of Chester and Moncure to Boise Cascade’s Southern Region operations will help support Boise Cascade’s internal and external customer bases. “The acquisition of these two well-run facilities will strengthen our footprint in the Southeastern United States and enable us to better serve our customers in the Eastern and Southeastern United States,” he said. “We welcome the Chester and Moncure employees into the Boise Cascade family.”
In 2004, Wood Resources, an operating unit of Greenwich, Connecticut-based Atlas Holdings LLC, acquired Chester and Moncure from Weyerhaeuser Corp. amid uncertainty about both mills’ futures in an industry undergoing significant consolidation. Through a relentless focus on safety and continuous improvement, both Chester and Moncure have improved efficiency, productivity, and output, and have achieved excellent financial performance.