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BRIEF-Potlatch and Deltic Timber to combine to create leading timberland REIT and lumber manufacturer
October 23, 2017 / 11:13 AM / 2 months ago

BRIEF-Potlatch and Deltic Timber to combine to create leading timberland REIT and lumber manufacturer

Oct 23 (Reuters) - Potlatch Corp

* Press release - potlatch and deltic timber to combine to create leading timberland reit and lumber manufacturer

* Potlatch Corp - ‍Potlatch raises annual dividend from $1.50 to $1.60 per share​

* Potlatch Corp - ‍Share repurchase authorization of $54 million remains in place​

* Potlatch Corp - ‍Combined co is expected to have a pro forma equity market capitalization of about $3.3 billion and a total enterprise value of over $4.0 billion​

* Potlatch Corp - ‍Deltic stockholders will receive 1.80 common shares of potlatch stock for each common share of deltic that they own​

* Potlatch Corp - ‍Following close of transaction, Potlatch stockholders will own approximately 65% of combined company​

* Potlatch Corp - ‍Following close of transaction, Deltic stockholders will own approximately 35% of combined co on a fully diluted basis​

* Potlatch Corp - ‍Agreement also provides for Deltic to convert to a REIT structure, effective at closing date of transaction​

* Potlatch Corp - ‍Combined company expects to realize approximately $50 million after-tax cash synergies and operational efficiencies​

* Potlatch Corp - ‍Board of combined company will comprise eight directors from Potlatch and four directors from Deltic​

* Potlatch Corp - ‍Both companies intend to maintain dividend payments through completion of transaction​

* Potlatch - ‍As part of REIT conversion process, Deltic’s accumulated earnings & profits to be distributed to combined co stockholders through dividend

* Potlatch - ‍Co, Deltic Timber have entered into a definitive agreement to combine in an all-stock transaction​ Source text for Eikon: Further company coverage:

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