By CorpGov Editorial Staff
Rayonier (NYSE: RYN) and PotlatchDeltic (Nasdaq: PCH) agreed to merge in an all-stock deal creating a leading U.S. land resources and lumber company valued at $7.1 billion in equity and $8.2 billion enterprise value, they said.
PotlatchDeltic shareholders will receive 1.7339 Rayonier shares per share, an 8.25% premium, resulting in Rayonier owning 54% and PotlatchDeltic 46% of the combined firm.
The new company said it will own 4.2 million acres of timberland across 11 states and operate seven wood products facilities. It expects $40 million in annual synergies within two years and a strong balance sheet with net debt of about 2.5x EBITDA.
Leadership will include Rayonier CEO Mark McHugh as CEO and PotlatchDeltic CEO Eric Cremers as Executive Chair for 24 months. Headquarters will be in Atlanta, GA, with regional offices in Spokane, WA and Wildlight, FL. The deal is expected to close in early 2026, pending shareholder and regulatory approval, they said.
“We are excited to announce this strategic merger of equals, combining two exceptional land resources companies to deliver enhanced value for our shareholders and other stakeholders,” Mark McHugh, President and Chief Executive Officer of Rayonier, said. “Rayonier and PotlatchDeltic share a commitment to sustainability and a legacy of excellence in delivering land resources to their highest and best use. We look forward to completing the transaction, and we are confident that the merger will generate meaningful value creation.”
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