AbitibiBowater to Sell Hydropower Stake to Cut Debt
This article is for subscribers only.
AbitibiBowater Inc., the world’s biggest newsprint maker, agreed to sell a stake in a hydropower facility and said it will convert some debt into new notes and equity to reduce its overall borrowings by $2.4 billion.
The C$615 million ($484 million) sale of its 60 percent stake in an electricity plant on the Manicouagan River to Hydro-Quebec is subject to conditions including a long-term power- supply agreement for the Baie-Comeau paper mill, Montreal-based AbitibiBowater said today in a statement.