El Dorado-based Deltic Timber Corp. and Potlatch Corp. have completed their merger into PotlatchDeltic Corporation.
The merger with the Spokane, Washington-based company was announced in late October, creating a new company with nearly 2 million acres of woodlands in the South and Pacific Northwest.
According to a news release, the merger was successfully completed Tuesday in an all-stock transaction. Its shares will trade on the Nasdaq under the ticker PCH.
“Today marks the beginning of a stronger PotlatchDeltic, positioned for growth,” Chairman and Chief Executive Officer Mike Covey said in the release. “We are thrilled to be celebrating this milestone and eager to begin integrating our business and capturing significant merger benefits. Our businesses have solid plans in place to deliver on our synergy commitments and provide a seamless transition for our customers and other stakeholders.”
Together, the combined company has a timberland portfolio of nearly 2 million acres, with approximately 1.1 million acres in the U.S. South, 600,000 acres in Idaho and 150,000 acres in Minnesota. The company operates eight wood products manufacturing facilities, including six lumber manufacturing facilities, one medium density fiberboard facility and one industrial plywood mill. In total, PotlatchDeltic has lumber capacity of 1.2 billion board feet, making it one of the leading producers in the U.S.
In accordance with the terms of the merger agreement, each outstanding share of Deltic Timber common stock immediately prior to the merger converted to the right to receive 1.80 shares of PotlatchDeltic common stock. In total, approximately 22 million common shares of PotlatchDeltic will be issued to Deltic Timber shareholders, representing approximately 35 percent of total shares of outstanding.
The News-Times previously reported that the new company’s board of directors will comprise eight directors from Potlatch and four from Deltic. The corporate headquarters will remain at Potlatch’s base in Spokane, Washington, while the Deltic’s El Dorado headquarters will become the southern operational headquarters.