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Rentech (RTK +14.2%) acquires wood-chip processor Fulghum Fibres for $112M, and purchases two...

May 02, 2013 10:32 AM ETRentech, Inc (RTK) StockRTKBy: Carl Surran, SA News Editor

Rentech (RTK +14.2%) acquires wood-chip processor Fulghum Fibres for $112M, and purchases two wood-pellet production facilities in Ontario, plus contracts for the sale and transport of ~4M metric tons of wood pellets over 10 years. The facilities are expected to generate $3M of operating income and $5M of EBITDA when fully operational, with combined total project cost of ~$70M.

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