Stock:
Symbol Lookup
Register | Login
...
History
...
...

Pre Market | Dow Jones | Gold | Newsletters | Learn


Louisiana-Pacific Corp to Buy Ainsworth Lumber Co. (LPX)

Thursday, September 5, 2013 7:09 AM
Construction material supplier, Louisiana-Pacific Corporation (NYSE: LPX) announced on Wednesday that it has agreed to acquire Ainsworth Lumber Co. in deal valued at about $1.1 billion. The deal will allow LPX to gain foothold in Asia and reap benefits from significantly improving U.S. housing market. The proposed acquisition agreement values Ainsworth at $3.76 C$ a share (US$ 3.59), representing a premium of 30% over closing stock price on Tuesday. The deal also includes assumption of Ainsworth’s debt. Meanwhile, Brookfield Asset Management Inc; which owns 54% stake in Ainsworth, also voted in favor of the deal. LPX expects the acquisition to boost its cash flow and earnings from the first year itself. However, the transaction requires approval of at least two-thirds of Ainsworth shareholders. The Company will hold a special meeting for voting over this issue in October. The deal does not require an approval from LPX shareholders; however, regulatory approval is needed. The deal is expected to close by the end of the year. The Company intends to finance the cash transaction through a combination of existing cash balances in both the balance sheets and remaining by new credit sources. Commenting over the deal, LPX’s CEO, Curt Stevens said, “Ainsworth has very high quality assets and provides us with an expanded suite of strand-based products and technologies, additional access to key international growth markets, particularly in Asia, and enhanced scale and efficiencies in North America.”  
PRINT

FREE Options Trading Lessons
I'll show you how to unlock HUGE Gains with Options Trading
Let's make 2014 the year you get RICH!

Latest Headlines

Efforts to replace Fed hawks Plosser, Fisher pick up speedEfforts to replace Fed hawks Plosser, Fisher pick up speed
(Reuters) - Two regional Federal Reserve banks have taken steps to replace their hawkish presidents, Charles Plosser and Richard Fisher, whose departures early next year could change the tenor of de...
Whirlpool wins first trial over 'moldy' washersWhirlpool wins first trial over 'moldy' washers
NEW YORK (Reuters) - Whirlpool Corp was found not liable Thursday by a U.S. jury in the first lawsuit to go to trial accusing the company of selling front-loading washing machines containing a desig...
Wal-Mart to close 30 underperforming stores in Japan, take chargeWal-Mart to close 30 underperforming stores in Japan, take charge
(Reuters) - Wal-Mart Stores Inc <WMT.N> said on Thursday it would close 30 underperforming stores in Japan, scaling back in what was once considered one of the retailer`s most promising markets ...
China's shadow banking sector growing rapidly, third largest in world: FSBChina's shadow banking sector growing rapidly, third largest in world: FSB
BEIJING (Reuters) - China`s shadow banking sector continued to grow at breakneck speed in 2013 and now ranks as the third largest in the world, a report released by the Financial Stability Board showe...
Portugal will reach 1.5 percent growth in 2015 despite BES collapse, PM saysPortugal will reach 1.5 percent growth in 2015 despite BES collapse, PM says
LISBON (Reuters) - The collapse of the Espirito Santo banking family`s business empire will not keep Portugal`s economy from growing 1.5 percent next year, as forecast, but probably will keep it from ...

Loading Headlines...
 

Stock Market

Track the stock market today with the latest news and information on all things investing! Watch your stocks perform throughout the day and watch the breaking stock market news.

Feedback | disclaimer | privacy policy

Stock Market News

The Stock Market is ever changing. Keep up on your stock market news.

Stock Market Newsletters

Read up on your favorite stock market newsletters.


Learn the Stock Market

Sharper your stock trading skills with our stock market education section.