Nature’s Flame wood pellets production company sold to New Zealand-based Talley’s Group

Norske Skog has entered into agreement with Talley’s Group, a New Zealand based dairy, fishing, produce and food company, to sell the Nature’s Flame pellets company for a consideration of approximately NZD 47.8 million (approximately NOK 280 million). The transaction is expected to close during the first quarter of 2022.

“Nature’s Flame is an excellent company producing high quality and sustainable energy pellets from wood residues, and thus the sales process generated significant interest. Under our ownership, we have expanded the capacity from producing some 20,000 tonnes when acquired to currently 90,000 tonnes, and we are very pleased that Talley’s has indicated interest to continue the ongoing project to further expand the capacity to 150,000 tonnes. This will support the ongoing decarbonisation of New Zealand industries by transitioning from fossil coal energy to renewable energy like wood pellets. Following the closure of the Tasman mill in 2021 and the sale of the Nature’s Flame business, the Boyer industrial site at Tasmania is now our only operational asset in the region. The Boyer industrial site will continue to service the regional publication paper markets and develop its industrial footprint within energy and bio products”, says Sven Ombudstvedt, CEO of Norske Skog.

Norske Skog acquired the Nature’s Flame business in 2015 for a consideration of NZD 6.7 million, and has invested an additional NZD 7.8 million to expand the capacity to 90,000 tonnes. The sale is expected to close during the first quarter of 2022. The sale consideration of approximately NZD 47.8 million (approximately NOK 280 million), subject to customary closing conditions, will be paid at closing and will result in a book value gain of NOK 150-200 million. The sale follows a broad and structured process with high interest from both local and international parties. Nature’s Flame contributed approximately NZD 5.0 million (approximately NOK 30 million) to Norske Skog’s EBITDA over the last twelve months as of the third quarter of 2021. The sale further strengthens Norske Skog’s balance sheet and liquidity position in relation to ongoing strategic projects within energy and packaging paper.
https://www.norskeskog.com/investors/press-releases/english-press-releases/natures-flame-wood-pellets-production-company-sold-to-new-zealand-based-talleys-group?PID=4684&M=NewsV2&Action=1

Related Posts

Alpa Sutaria Joins WestRock as Senior Vice President, Strategy and Sustainability

WestRock Company announced Alpa Sutaria has joined the Company as senior vice president, Strategy and Sustainability. In her role, Sutaria will lead WestRock’s enterprise strategy development work as well as partner with business leaders to drive company-wide strategic initiatives. She will also be responsible for strengthening WestRock’s position as a leader in sustainability Alpa comes to WestRock from the Coca-Cola Company, where she most recently served as vice president and general manager of Sustainability, North America, responsible for embedding sustainability into the company's overall business strategy. She led efforts to advance the company’s sustainability objectives, including efforts to reduce packaging waste, increase water sustainability and improve the company’s carbon footprint. Throughout her tenure at Coca-Cola, Alpa held a variety of Strategy, Marketing, and Finance leadership roles. Additional experience includes a strategy and operations role at Deloitte where she led a broad range of complex projects from concept through execution.

Magnolia Table Brings Lynx Paper Into the Kitchen

Millions of fans of Chip and Joanna Gaines, of Magnolia Homes and HGTV’s Fixer Upper fame, are getting a taste of quality from Domtar’s Rothschild Mill this year. That’s because Joanna Gaines’ new cookbook, “Magnolia Table: A Collection of Recipes for Gathering,” was printed on 80-lb. Lynx® paper made at Rothschild Mill. The book, published by HarperCollins, includes personal stories and homestyle recipes of family favorites and classic comfort food from the couple’s new restaurant in Waco, Texas. It has received glowing reviews from lovers of all the Magnolia Homes brand and was a New York Times No. 1 bestseller. Our Rothschild Mill colleagues also received high marks from the publisher; Domtar has worked with HarperCollins for more than 20 years. It’s rewarding to know that our customers and partners value our high-quality Lynx paper and excellent customer service. Click Read More below for additional information.

Neenah Completes Purchase of Coldenhove

Neenah Paper, Inc. announced that it had completed the previously announced purchase of the outstanding equity of W.A. Sanders Coldenhove Holding B.V. Coldenhove is a specialty materials manufacturer based in the Netherlands, with a leading position in digital transfer media and other technical products. Upon closing, the Company made a cash payment of approximately $45 million. The payment was financed through almost $14 million of available cash on hand, with the balance from incremental borrowing against the Company's existing global revolving credit facility. Interest rates on the additional short term debt were under two percent.
Back To Top
×Close search
Search