AL.com
Published: Jun. 06, 2022, 2:18 p.m.,
By William Thornton | wthornton@al.com
A Spokane, Wash.-based real estate investment trust is acquiring an Atlanta-based investment group, and in the process, concentrating almost 154,000 acres of Alabama timberland.
PotlatchDeltic Corp. announced last week it is acquiring CatchMark Timber Trust in an all-stock transaction. The combined company is expected to have a total enterprise value of more than $5 billion, including $557 million in net debt. Terms of the deal were not disclosed.
The transaction is expected to close in the second half of this year, subject to approval.
PotlatchDeltic owns approximately 2.2 million acres of timberland in the U.S., including 626,000 acres in Idaho and more than 1.5 million acres in strengthening markets in the South.
Prior to the deal, PotlatchDeltic owned about 87,000 acres of Alabama timberland, growing southern yellow pine, red oak, sweetgum and other commercial hardwood species. The timber is used for regional wood products and pulp mills, according to the company.
Catchmark owns 66,900 acres in Alabama, part of its 365,300 acre portfolio, which includes Georgia and South Carolina.
PotlatchDeltic President and CEO Eric J. Cremers said the location of CatchMark’s land near large population centers provides “attractive rural real estate sales opportunities.”