After declaring bankruptcy in April, Penticton鈥檚 Structurlam has officially been sold for more than $80 million U.S.
The June 15, completion of the sale followed the 60-year-old company鈥檚 bankruptcy declaration in April and several rounds of bidding in May.
The new owner Mercer Mass Timber, a subsidiary of Mercer International, will be keeping Structurlam鈥檚 facilities in Penticton and Conway, Arkansas running according to the press release about the sale鈥檚 completion.
Mercer Mass Timber now holds all of Structurlam鈥檚 brand assets, product and project portfolios and intellectual property and the Structurlam facilities in the Okanagan and Arkansas will be rebranded.
We are thrilled to welcome Structurlam into the Mercer Mass Timber fold,鈥� said Brian Merwin, senior vice president of Mercer Mass Timber in a press release. 鈥淥ur goal is to become a one-stop shop for all mass timber needs. The additional manufacturing facilities that the Structurlam acquisition brings will enable us to create greater efficiencies.鈥�
Mercer had placed a stalking horse bid of $60 million on Structurlam when it declared bankruptcy.
Structurlam鈥檚 consolidated plant in Arkansas suspended its operations earlier in 2023 after the facility鈥檚 main contract with Walmart was cancelled. The loss of that contract led to the company filing for Chapter 11 bankruptcy in the U.S.
Structurlam was one of the largest mass timber manufacturers in North America and provided the prefabricated wood components used in the Brock Commons student residence at UBC, which at the time it was completed was the tallest mass timber building in the world.
Among the aspects hyped up by Mercer in their press release about the sale was the addition of Structurlam鈥檚 cross-laminated and glue-laminated (glulam) production, the latter of which Mercer did not previously possess.
To report a typo, email: editor@pentictonwesternnews.com.
<>Don鈥檛 miss a single story and get them delivered directly to your inbox. Sign up today for the Penticton Western News Newsletter.
<>
newstips@pentictonwesternnews.com
Like us on and follow us on .
