TACOMA, WA - McFarland Cascade Investment Co., a manufacturer of treated wood products, will be absorbed by its competitor Stella-Jones Inc.
Stella-Jones will purchase all of McFarland Cascade's stock in a deal valued at $230 million. The transaction is expected to be consummated this month.
McFarland Cascade had sales of $255 million last year and fore-casted sales of $280 million for this year. Founded in 1916, McFarland Cascade manufactures utility poles, piling and lumber for composite decking, railings and related deck accessories. The company owns wood treating plants in Washington, Oregon, Mississippi and British Columbia. McFralnd Cascade also has several third-party treating sites and a North American distribution network, including Home Depot for consumer products.
Corry & Greg McFarland, co-CEOs and third-generation family managers, will retire from on-going operations following the close of the acquisition.
Stella-Jones, based in Saint-Laurent, QC, manufactures pressure-treated wood products, including railway ties and utility poles. plus products for industrial and residential markets. Last year, Stella-Jones acquired Thompson Industries Inc., a manufacturer of pressure-treated wood products based in Russellville, AS, for $41 million. In July, Stella-Jones halted a potential buy of certain pole treating assets of Brisco Wood Preservers Ltd. of British Columbia.
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