Key Developments: Resolute Forest Products Inc (RFP)
15.51USD
24 May 2013
$-0.35 (-2.21%)
$15.86
$15.77
$15.79
$15.31
80,352
423,737
$17.54
$9.02
Latest Key Developments (Source: Significant Developments)
Resolute Forest Products Inc Announces Board Changes
Resolute Forest Products Inc announced that Richard B. Evans, currently the Company's Non-Executive Chairman, has determined that he would retire, and would not stand for re-election. The board has recommended Bradley P. Martin, a current member, to serve as Resolute's new [Non-Executive] Chairman, and Alain Rhéaume, also a current member, as lead director. Full Article
Resolute Forest Products Inc Completes Sale Of Bowater Mersey Paper Company Limited
Resolute Forest Products Inc announced that the province of Nova Scotia, represented by the minister of the Department of Economic and Rural Development and Tourism, has completed the purchase of all the shares of Bowater Mersey Paper Company Limited for nominal consideration. Bowater Mersey is the former joint venture between Resolute (51%) and The Washington Post Company (49%), formed to hold the Mersey newsprint mill, located in Brooklyn, Nova Scotia, and other associated assets, including private timberlands, the Oakhill sawmill and Brooklyn Power Corporation. Resolute operated the Mersey newsprint mill until it was indefinitely idled in June of 2012. Before closing the transaction, Resolute purchased from Bowater Mersey the assets associated with the Oakhill sawmill and, in connection with the closing, certain components of the paper mill, which can no longer be used to make paper. At closing, Resolute received a cash payment of approximately $18 million, representing a reimbursement of working capital advances by Resolute to Bowater Mersey to fund its operations, net of transaction-related items. Full Article
Resolute Forest Products Inc and Fibrek Inc Announce Second Step Arrangement Agreement
Resolute Forest Products Inc and Fibrek Inc announced that Fibrek has entered into an agreement with RFP Acquisition Inc., a wholly owned subsidiary of Resolute, for a proposed arrangement (the Arrangement) to amalgamate and form a new corporation, wholly owned by Resolute. The Arrangement constitutes the second step transaction for Resolute to acquire all the Fibrek shares not deposited in the take-over bid it launched on December 15, 2011, which expired on May 17. Resolute holds approximately 74.56% of the outstanding Fibrek shares. Under the terms of the Arrangement, holders of Fibrek common shares, other than RFP Acquisition Inc., will be given the same choices of per share consideration previously offered in the take-over bid, namely: CAD0.55 in cash and 0.0284 of a Resolute share; or CAD1.00 in cash (subject to proration, as described in the circular); or 0.0632 of a Resolute share (subject to proration, as described in the circular). The maximum amount of cash consideration available under the Arrangement is approximately CAD18.2 million and the maximum number of shares of Resolute common stock available to be issued is approximately 940,000. Under the terms of the Arrangement, Fibrek and RFP Acquisition have agreed to apply for an interim order of the Superior Court of Quebec to convene a special meeting of Fibrek's shareholders to vote on the proposed Arrangement Full Article
Resolute Forest Products Inc To Buy Back Up To 10% Of Shares-Canada Stockwatch News
Canada Stockwatch News reported that the Board of Directors of AbitibiBowater Inc., doing business as Resolute Forest Products Inc, has authorized the repurchase of up to 10% of the Company's common stock for an aggregate purchase price of up to $100 million. The repurchase program will be financed using the Company's available cash. Full Article
AbitibiBowater Inc Increases Fibrek Inc.'s Ownership To 63.3%
AbitibiBowater Inc announced that it took up and accepted for payment 12,305,679 additional shares of Fibrek Inc. deposited to offer as of the close of business on May 4, 2012. Together with the shares the Company acquired up to and including May 3, Resolute holds approximately 63.3% of the currently outstanding shares. As aggregate consideration for the shares taken up May 4, 2012, Resolute will distribute approximately 350,000 newly issued shares of common stock and $6.8-million in cash through RFP Acquisition Inc., a wholly owned subsidiary. The Company also announced that it has extended to May 17, at 5 p.m. the expiry time for its offer. As further described in the offer circular and other ancillary documentation related to the offer (as amended), Resolute intends to carry out a second-step transaction to acquire the Fibrek shares not deposited in the offer. The offer to acquire all of the issued and outstanding shares of Fibrek made by Resolute, together with RFP Acquisition, a wholly owned subsidiary, is more fully described in the offer circular and other ancillary documentation that Resolute filed on December 15, 2011, on the SEDAR website maintained by the Canadian Securities Administrators, as varied and extended. The offer expires on May 17, 2012, at 5 p.m. (Eastern Time). Full Article
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