Solifor Forest Asset Management has acquired Cascades' private forestlands located in Kamouraska and Témiscouata for $20 million. The deal includes 10,500 hectares of forest managed by Cascades for over 25 years.

The transaction was completed on March 31.

The structuring partnership will allow for the continued development of the lands and will help secure the long-term supply for Cascades' Cabano containerboard mill, located in Temiscouata-sur-le-Lac Quebec. The mill manufactures corrugated medium from virgin and recycled fibers.

"Cascades' long-term management of its natural and plantation forests in the Lower St. Lawrence region has been exemplary and is now resulting in remarkable growth," said André Gravel, President and CEO of Solifor. "These lands fit well into Solifor's portfolio of properties, which prioritizes responsible, balanced, and sustainable forest management, focused on optimizing their long-term value, the harmonious coexistence of different land users, and a concrete contribution to the fight against climate change."

Hugues Simon, President and CEO of Cascades, said, "We are pleased that Quebec interests are continuing the responsible management of assets that we were using very little, while also giving us access to increased supply capacity from Solifor, which owns large tracts of forest land near our operations. This agreement secures a reliable supply and ensures the competitiveness of our Cabano plant."

Cascades has been present in the Lower St. Lawrence for over 50 years, while Solifor has been present there for over 15 years through its properties in the Nicolas-Riou seigneury and the Métis seigneury.

About Cascades
Founded in 1964, Cascades offers sustainable, innovative and value-added solutions for packaging, hygiene and recovery needs. The company employs approximately 9,000 talented people across a network of 60 production units in North America. With its participative management, half a century of experience in recycling, and ongoing efforts in research and development as driving forces, Cascades continues to deliver the innovative products that customers have come to rely on, while contributing to the well-being of people, communities and the entire planet. Cascades' shares trade on the Toronto Stock Exchange under the ticker symbol CAS.

About Solifor
Solifor is a member of the Fonds de solidarité FTQ's network specializing in private forest property management. With over 210,000 hectares of private forest land in the Bas-Saint-Laurent, Chaudière-Appalaches, Charlevoix, Saguenay, Portneuf, Mauricie, Abitibi and northern Maine regions, Solifor supports the Fonds de solidarité FTQ's mission to contribute to the vitality of Quebec's regions and communities, as well as the retirement savings of more than 816,000 Quebecers.
 
Source: prnewswire.com