The newly formed firm, set up by private equity group KPS Capital Partners, expects the transactions to close in Q2 or Q3 of 2013.
The company will include Thilmany Papers’ Nicolet and Kaukauna mills and Wausau Paper’s Mosinee and Rhinelander mills, in Wisconsin, and the output of Verso Paper’s number five paper machine in Jay, Maine.
Raquel Palmer, a KPS Partner, said, "The new company, with its reputation for exceptional quality, customer focus, technical expertise and product innovation, coupled with KPS's capital resources, will be perfectly positioned to capitalize on the growth in niche, non-commodity markets, where engineered and applied technological solutions are critical to success.”
Packaging Dynamics Corporation announced the sale in April and Wausau Paper reported the deal in March for an initial cash purchase of $130m.
Wausau Specialty Paper and Thilmany are both manufacturers of specialty paper products for the food packaging, industrial and pressure-sensitive release liner segments.