Rayonier Inc. announced a $554 million agreement Jan. 15 to buy Pope Resources, a company that owns timberland in the Northwest U.S.
Rayonier, a Yulee-based timber and real estate development company, owns or manages 2.6 million acres of timberland, including 379,000 acres in the Northwest.
The addition of Pope Resources, based in Poulsbo, Washington, adds 125,000 acres in the region to Rayonier’s timber portfolio.
“Pope Resources has a strong track record as a best-in-class Pacific Northwest timberland operator and possesses an excellent set of assets in high-quality markets,” Rayonier CEO David Nunes said in a news release.
“Our two organizations have very compatible cultures, a complementary set of assets and a shared dedication to value maximization through intensive silvicultural practices and higher-and-better-use real estate operations,” he said.
Pope Resources is a publicly traded limited partnership. Rayonier agreed to acquire all of the partnership units for a combination of cash and stock valued at $554 million.
The company expects 70% of the payment to be made in stock and 30% in cash.
Rayonier expects to close the deal in mid-2020.
