Source Pravda.Ru

MeadWestvaco to sell 6 South Carolina mills to KapStone Paper and Packaging

MeadWestvaco Corp. (NYSE: MWV), an American pulp and paper company, is going to sell six South Carolina mills to KapStone Paper and Packaging. The deal will be worth of $485 million.

KapStone is not going to change the South Carolina work force, thus adding 1,100 workers to its 700 employees at mills in North Carolina and Arkansas.

The objects of sale are: the North Charleston mill, the Summerville lumber mill, wood chip mills in Elgin, Hampton, Andrews and Kinards.

MeadWestvaco is going to use the profit to pay down debt.

The deal requires regulatory decision and is due to end by the third quarter.