Brookfield divesting more forestry assets; Longview business units to be sold

TORONTO – Brookfield Asset Management Inc. (TSX:BAM.A) is selling its Longview forestry assets in the U.S. Pacific Northwest through deals totalling nearly $3.7 billion.

The Toronto-based company acquired the assets in 2007 as one business and has since separated the timberlands from the manufacturing businesses.

Weyerhaeuser Co. (NYSE:WY) will acquire Brookfield’s Longview Timber for $2.65 billion, including debt.

KapStone Paper and Packaging (NYSE:KS) will acquire Longview Fibre Paper and Packaging for $1.025 billion from the Toronto-based company.

Brookfield It expects to get $250 million cash for Longview Fibre Paper and $600 million cash for Longview Timber after debt and investor payments.

In addition, its affiliate Brookfield Infrastructure (TSX:BIP.UN) will receive $470 million in net proceeds from the timberlands deal.