April 25 (Bloomberg) -- Oji Holdings Corp. and Innovation Network Corp. of Japan agreed to pay NZ$1.04 billion ($892 million) for Australia- and New Zealand-based Carter Holt Harvey Pulp & Paper Ltd.
Oji, which makes pulp and paper products, will own 60 percent and investment services company INCJ the rest, the companies said in separate statements on their websites.
The acquisition of Carter Holt Harvey’s pulp and paper business will enable Oji to source softwoods for use in cardboard and tissues, for which demand is expected to grow from developing countries, INCJ said in its statement.
“This acquisition enables a stable supply of rare softwoods because of the abundance of conifer trees in New Zealand,” INCJ said in the statement. “This permits Oji to develop its business more effectively in growth markets, particularly in Asia.”
The acquisition will be completed through a share transfer, the companies said. The transaction will close during the year ending March 31, 2015. A voice mail left at Carter Holt Harvey’s Auckland office was not immediately returned.
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