CANADA (News release) -- Canfor Pulp Products Inc. announced the end of its go-shop period under the December 2025 arrangement agreement with Canfor Corporation.

The agreement enables Canfor Corporation to acquire all Canfor Pulp shares it does not already own. Shareholders will receive either 0.0425 Canfor Corporation shares or $0.50 in cash per Canfor Pulp share. Canfor Corporation currently owns 54.8% of Canfor Pulp's issued shares.

During the go-shop period, Canfor Pulp's financial advisor, Stifel Nicolaus Canada Inc., contacted 15 potential buyers. No acquisition proposals were received before the period ended on January 19, 2026.

Following the expiration, Canfor Pulp is now subject to non-solicitation covenants but may terminate the agreement if a superior proposal is received. In such a case, a $500,000 termination fee would be payable to Canfor Corporation.

Completion of the transaction remains subject to shareholder, court, and regulatory approvals, including from the Toronto Stock Exchange. A special meeting of Canfor Pulp shareholders is expected in the first quarter of 2026.

Canfor Pulp operates two mills in Prince George, British Columbia, with a total pulp capacity of 780,000 tonnes, including 300,000 tonnes of indefinitely curtailed production since August 2024, and kraft paper capacity of 140,000 tonnes.