SGF to acquire Temrex Forest Products
Montréal, September 3, 2009 - Société générale de financement du Québec (SGF) announces that it has concluded an agreement in principle with Tembec to acquire the entire interest it holds in the limited partnership Temrex Forest Products LP as well as the shares it holds in general partner Gestion PFT Inc. The $12 million transaction is subject to a price adjustment as well as certain conditions. SGF would hence become the sole shareholder of Temrex.
SGF management is pleased with this investment and has a positive outlook for Temrex's future. "While the industry is going through a difficult period, this sector is very important for regional economic development", says Pierre Shedleur, SGF President and General Manager.
Through its expertise and financial capabilities, SGF is able to contribute actively to the economic development of Québec and its regions.
Temrex Forest Products produces and transforms softwood lumber. The transformation complex (stemming from the grouping of the St-Alphonse and Nouvelle sawmills) includes sawing and planing operations. With an annual production of 150 million bd-ft of balsam and spruce, Temrex is among the main softwood lumber producers in the Gaspésie region (Gaspésie--Îles-de-la-Madeleine).
Société générale de financement du Québec (www.sgfqc.com), an industrial and financial holding company, has a mission to carry out economic development projects, particularly in the industrial sector, in cooperation with partners and in compliance with accepted profitability requirements and with the economic development policy of the Québec government. As part of its new mandate, SGF is authorized by the Québec government to go beyond its traditional role as an equity investor by offering complementary solutions, such as loans, debentures or preferred capital-share investments.
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Senior Adviser, Communications and Media Relations