Consumables

KapStone Clears HSR for its Acquisition of Longview Fibre Paper and Packaging, Inc.

Monday 01. July 2013 - KapStone Paper and Packaging Corporation (NYSE: KS) ("KapStone") announced today that the U.S. Federal Trade Commission ("FTC") has granted early termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 ("HSR Act") in connection with the previously announced acquisition of Longview Fibre Paper and Packaging, Inc. ("Longview").

This means that the FTC and the Antitrust Division of the U.S. Department of Justice have completed their review of the submissions made by the parties in accordance with the rules promulgated under the HSR Act and determined not to take any enforcement action with respect to the proposed transaction during the HSR Act waiting period. The expiration or termination of the waiting period was a condition to the closing of the transaction.
As announced on June 10, 2013, KapStone Kraft Paper Corporation (“KapStone Kraft”), a wholly owned subsidiary of KapStone, Longview and certain affiliates of Brookfield Capital Management (“Brookfield”) entered into an agreement for KapStone Kraft to acquire the stock of Longview from Brookfield in a cash free, debt free transaction for $1.025 billion in cash and subject to certain post-closing adjustments. Closing of the acquisition is still subject to approval from the Federal Energy Regulatory Commission in response to the parties’ joint application and other customary conditions. The transaction is expected to close in the third quarter of this year.