LONGVIEW, Wash. — WestRock Co. has announced an agreement to acquire KapStone Paper and Packaging Corp. for about $3.5 billion.
The Daily News reports the deal — which includes the Longview paper mill — would create one of the largest providers of paper and packaging products in the country. The sale is set to close in the quarter ending Sept. 30.
Mergers in the packaging industry over the last 15 years have often been followed by mill closures, but an official from the union that represents KapStone’s Longview millworkers said it’s “very unlikely” the local mill will close under the deal.
Association of Western Pulp and Paper Workers president Greg Pallesen says KapStone has invested a significant amount of money in its Longview mill, and WestRock is looking to expand on the West Coast.
KapStone employs about 800 union workers at its Longview mill.
Information from: The Daily News, http://www.tdn.com