Transactions & Cases Detail



Transaction/Case Details

Kadant acquires NII FPG Company’s Forest Products Business

BUSINESS SECTOR

Forestry & Paper

LEAD OFFICE

Montreal

VALUE

173 Million USD


OVERVIEW

On May 30, 2017, Kadant Inc. announced a definitive agreement to acquire the forest products business of NII FPG Company for US$173 million in cash, subject to a post-closing adjustment. The Company also announced that it has increased its revolving credit facility to US$300 million from US$200 million and intends to finance the transaction through borrowings under the revolving credit facility.

NII FPG Company is a global leader in the design and manufacture of equipment used by sawmills, veneer mills, and other manufacturers in the forest products industry. The company also designs and manufactures harvesting equipment used in cutting, gathering, and removing timber from forest plantations.

Kadant Inc. is a global supplier of high-value, critical components and engineered systems used in process industries worldwide. The Company’s products, technologies, and services play an integral role in enhancing process efficiency, optimizing energy utilization, and maximizing productivity in resource-intensive industries. Kadant is based in Westford, Massachusetts.

McCarthy Tétrault LLP advised Kadant Inc. with a team led by Patrick Shea that included Cristel Chabot-Lapointe.