Weyerhaeuser Company announced an agreement to sell its 555,000 acres of Michigan timberlands to Lyme Great Lakes Holding LLC, an affiliate of The Lyme Timber Company LP, for $300 million in cash.
The company expects to recognize a gain on the sale and anticipates no tax liability in conjunction with the transaction.
"This transaction in our Northern region encompasses a diverse mix of hardwood and softwood acres and is part of our ongoing effort to strategically optimize our timberlands portfolio," said Devin W. Stockfish, president and chief executive officer of Weyerhaeuser. "Lyme will also welcome our exceptional team of highly skilled employees."
"Weyerhaeuser's Michigan timberlands have been managed for decades by an expert team of professionals, and we look forward to working with them," said Jim Hourdequin, managing director and chief executive officer of The Lyme Timber Company LP. "We're excited to be investing in a region known for the quality of its hardwood timberland, mill capacity, and logging and trucking infrastructure."
The transaction is subject to customary closing conditions and is expected to close in the fourth quarter of 2019.