Weyerhaeuser Company (NYSE: WY) declared the acquisition of 69,200 acres of high-quality Alabama timberlands. The firm has purchased Timberlands from a division of Greif, Inc, Soterra for nearly $149 million. There are various attributes of this buying. This buying will offer simple property rights and is highly assimilated with the current timberland operations of WY.
Furthermore, it is situated in one of the most powerful central sawlog and fiber markets in the U.S. South. It has a deep and growing base of clients as well as future trade opportunities. Another key characteristic is the well-stocked timber supply, comprising 76% farm acreage with a median age of 14 years, and a chance for higher productivity over a period.
Shares of Weyerhaeuser (NYSE: WY) rocketed 0.53% at $36.09 at the time of writing on Thursday. Its share surged 175.95% from its 52-week low and 0.47% from its 52-week high. Focusing on its liquidity, it has a current ratio of 2.50. Weyerhaeuser has a total market capitalization of $25.89 billion at the time of writing.
This a great achievement of the firm as it will boost the position of the firm by buying top-quality, well-handled timberlands with minimal operating risk. The timberlands which the firm has bought are situated in an attractive location. Weyerhaeuser holds or operates nearly 600,000 acres and also manages two mills and a nursery in Alabama. The deal is dependent on certain normal closure terms and conditions. It is anticipated that the deal will be executed in the Q2 of 2021.