Conifex Timber Inc. announced that the agent for its lumber segment lenders approved in principle Conifex's proposed asset divestment and restructuring plan.
The plan also provides additional credit support to Conifex to fund operations while it implements its asset divestiture plan.
Pursuant to the plan, Conifex will consider certain asset divestitures, as well as certain alternative options, to repay (in whole or part) its lumber segment credit facility. The plan also defers loan repayments until February 1, 2020 and provides a temporary financing of US$3.0 million.
Conifex continues to work collaboratively with its lenders and is pleased to have their continued support. The plan is subject to completion of definitive documentation, which Conifex is working to finalize shortly.
About Conifex Timber Inc.
Conifex and its subsidiaries' primary business currently includes timber harvesting, reforestation, forest management, sawmilling logs into lumber and wood chips, and value added lumber finishing and distribution. Conifex's lumber products are sold in the United States, Chinese, Canadian and Japanese markets. Conifex has expanded its operations to include bioenergy production following the commencement of commercial operations of its power generation facility at Mackenzie, BC.