Dive Brief:
- Montreal-based paper firm Resolute Forest Products Inc. has acquired Atlas Paper Holdings, which operates a paper recycling facility in Tampa, and other Florida paper operations in Miami and Sanford. The deal was for $156 million and Resolute estimates that Atlas generates about $23 million annually, according to Waste360.
- Resolute will focus on optimizing its new acquisition’s pulp supply; investing in excess tissue-converting capacity; and expanding the product line.
- The company expects to maintain Atlas’ current structure and most of its 360 employees.
Dive Insight:
More paper companies are inking deals to diversify their product lines and gain a competitive edge in a market where the commodity is easy to process, and abundantly available to recyclers.
The deal between Resolute and Atlas comes shortly after Norcross, GA-based WestRock Co. agreed to buy paper recycler SP Fiber Holdings Inc. One of the largest recyclers in the country, it's among several that have recently merged to capitalize on paper recycling.
"We are excited about becoming part of a larger, diversified company that views the tissue market as a cornerstone of its future," said Jim Brown, Atlas president and CEO.
