SPOKANE, Wash. - PotlatchDeltic Corp. has announced the completion of its previously announced merger with Deltic Timber Corp. in an all-stock transaction, forming a leading domestic timberland owner and wood products manufacturing behemoth. All closing conditions for the deal have been met.
The combined company has changed its name to PotlatchDeltic Corp. and its shares will trade on the Nasdaq Stock Market under the ticker PCH.
“Today marks the beginning of a stronger PotlatchDeltic, positioned for growth,” said Chairman and CEO Mike Covey, who was previously CEO of Potlatch. “We are thrilled to be celebrating this milestone and eager to begin integrating our business and capturing significant merger benefits. Our businesses have solid plans in place to deliver on our synergy commitments and provide a seamless transition for our customers and other stakeholders.”
The combined company will run two million acres of timberlands, with approximately 1.1 million acres in the southern U.S., 600,000 acres in Idaho, and 150,000 acres in Minnesota. In addition, upon completion of the transaction, PCH will operate eight wood products manufacturing facilities, including six lumber manufacturing facilities, one MDF facility and one industrial plywood mill. In total, the combined company will have lumber capacity of 1.2 billion board feet, making it one of the leading producers in the U.S.
The company’s lumber capacity will be heavily weighted towards high-margin southern yellow pine lumber, with over half of the company’s capacity being produced at its three southern mills.
The combined PCH will have more than 1,500 employees and will serve over 200 customers.
In accordance with the terms of the merger agreement, each outstanding share of Deltic Timber common stock immediately prior to the merger converted to the right to receive 1.80 shares of PotlatchDeltic common stock. In total, approximately 22 million common shares of PotlatchDeltic will be issued to Deltic Timber shareholders, representing approximately 35 percent of total shares of outstanding.