Core Viewpoint - Rayonier and PotlatchDeltic have agreed to merge in an all-stock deal, creating a leading U.S. land resources and lumber company valued at $7.1 billion in equity and $8.2 billion in enterprise value [1] Group 1: Merger Details - PotlatchDeltic shareholders will receive 1.7339 Rayonier shares per share, representing an 8.25% premium, resulting in Rayonier owning 54% and PotlatchDeltic 46% of the combined firm [1] - The new company will own 4.2 million acres of timberland across 11 states and operate seven wood products facilities [2] Group 2: Financial Expectations - The merger is expected to generate $40 million in annual synergies within two years and maintain a strong balance sheet with net debt of about 2.5 times EBITDA [2] Group 3: Leadership and Structure - Leadership will include Rayonier CEO Mark McHugh as CEO and PotlatchDeltic CEO Eric Cremers as Executive Chair for 24 months [3] - The headquarters will be located in Atlanta, GA, with regional offices in Spokane, WA, and Wildlight, FL [3] Group 4: Strategic Vision - The merger is described as a strategic merger of equals, aimed at delivering enhanced value for shareholders and stakeholders, with a shared commitment to sustainability [4]

Core Points - The teleconference discusses the Merger of Equals between Rayonier and PotlatchDeltic, indicating a significant strategic move in the industry [1] - Presentation materials are available on both companies' websites and have been filed with the SEC, ensuring transparency and compliance [2] - The presentation includes forward-looking statements and non-GAAP financial measures, highlighting the companies' commitment to providing comprehensive financial information [3][4]

Rayonier and PotlatchDeltic Merger Conference Call Summary Industry and Companies Involved - **Industry**: Timberland and Wood Products - **Companies**: Rayonier (NYSE: RYN) and PotlatchDeltic Core Points and Arguments 1. **Merger Announcement**: Rayonier and PotlatchDeltic announced a definitive merger agreement to combine in an all-stock merger of equals transaction, expected to close in late Q1 or early Q2 of 2026, subject to regulatory approvals and shareholder votes [12][18][50]. 2. **Strategic Benefits**: The merger aims to create significant strategic and financial benefits, including increased scale with nearly 4.2 million acres of timberlands across 11 states and a combined wood products manufacturing capacity of 1.2 billion board feet of lumber and 150 million square feet of plywood [14][15][16]. 3. **Shareholder Value**: PotlatchDeltic shareholders will receive 1.7339 shares of Rayonier for each share held, representing an 8.25% premium based on stock prices as of October 10 [16]. 4. **Pro Forma Ownership**: The pro forma ownership post-merger will be approximately 54% for Rayonier shareholders and 46% for PotlatchDeltic shareholders [16]. 5. **Synergies and Cost Optimization**: The merger is expected to generate $40 million in annual synergies primarily through corporate and operational cost optimization, with half expected to be realized in the first year [22][89]. 6. **Leadership Structure**: Post-merger, Eric Cremers will serve as Executive Chair, Mark McHugh as President and CEO, and Wayne Waisanen as CFO of the combined company [24][25]. 7. **Geographic and Market Diversification**: The merger will enhance geographic diversification, with significant timberland holdings in the U.S. South and Northwest, allowing for better risk management and market dynamics [41][42]. 8. **Sustainability Commitment**: Both companies share a commitment to sustainability and responsible land stewardship, which will continue post-merger [51]. Additional Important Points 1. **Financial Position**: The combined company will have a strong pro forma balance sheet with an adjusted EBITDA of approximately $439 million and a net debt to EBITDA ratio of 2.5 times [48][49]. 2. **Dividend Strategy**: The combined company plans to maintain Rayonier's current quarterly dividend level, adjusted for the increased number of shares, and will pay a special dividend of $1.40 per share to meet REIT taxable income distribution requirements [50][49]. 3. **Market Conditions**: The merger is seen as timely given the current housing market dynamics and potential for improved lumber prices due to tariffs and interest rate changes [94][108]. 4. **Future Growth Opportunities**: The merger will provide opportunities for growth in land-based solutions, including solar leasing and carbon markets, enhancing revenue streams [47][48]. 5. **Operational Efficiency**: The merger is expected to create operational efficiencies through the sharing of best practices and optimization of costs across the combined organization [22][30]. This summary encapsulates the key points discussed during the conference call regarding the merger between Rayonier and PotlatchDeltic, highlighting the strategic, financial, and operational implications of the transaction.

Group 1 - The core point of the article is the merger agreement between Rayonier (RYN.US) and PotlatchDeltic Corp. (PCH.US), which will create a new large timber holding and wood production company valued at $7.1 billion [1] - The merger will result in the second-largest publicly traded timber and wood products company in North America, with land resources spanning 4.2 million acres across 11 states [1] - The stock exchange ratio for the transaction represents an 8.25% premium over PotlatchDeltic's closing price on October 10 [1] Group 2 - Rayonier shareholders will hold 54% of the new entity, with Mark McHugh as the CEO and Eric Cremers as the executive chairman for 24 months post-transaction [1] - The new company will have a new name and will be headquartered in Atlanta, Georgia, while maintaining significant regional offices in Spokane, Washington, and Wildlight, Florida [1] - The merger announcement coincided with the implementation of tariffs on imported timber and wood products, aimed at boosting U.S. manufacturing, which is expected to impact Canada, the largest timber supplier to the U.S. [1] Group 3 - The U.S. Lumber Coalition indicated that timber suppliers are facing one of the most challenging market environments ever, citing weak new housing demand and a severe supply surplus due to producers rushing to ship products to avoid tariffs [2] - Eric Cremers stated that the merger will create significant strategic and financial benefits that could not be achieved by the companies operating separately [3]

Group 1 - The core point of the news is the merger agreement between Rayonier (RYN.US) and PotlatchDeltic Corp. (PCH.US), which will create a new company valued at $7.1 billion, making it the second-largest publicly traded timber and wood products company in North America [1] - The combined entity will hold timberland resources across 11 states, covering a total area of 4.2 million acres [1] - The merger is structured as an all-stock transaction, with Rayonier shareholders owning 54% of the new entity, and Mark McHugh serving as the CEO of the merged company [1] Group 2 - The merger has been approved by the boards of both companies, and the stock exchange ratio offers an 8.25% premium over PotlatchDeltic's closing price on October 10 [1] - The new company will have a new name and will be headquartered in Atlanta, Georgia, while maintaining significant regional offices in Spokane, Washington, and Wildlight, Florida [1] - The announcement of the merger coincided with the implementation of tariffs on imported timber and wood products, aimed at boosting the U.S. manufacturing sector, which is expected to impact Canada, the largest timber supplier to the U.S. [1] Group 3 - The U.S. Lumber Coalition has indicated that timber suppliers are facing one of the most challenging market environments ever, citing weak new housing demand and a significant supply surplus due to Canadian and European producers rushing to ship products to avoid tariffs [2] - Eric Cremers, the current CEO of PotlatchDeltic, stated that the merger will create significant strategic and financial benefits that could not be achieved by the companies operating separately [2]

Transaction Overview - Rayonier and PotlatchDeltic will merge in an all-stock transaction, with PotlatchDeltic shareholders receiving 1.7339x Rayonier shares for each PotlatchDeltic share[1,9] - The transaction represents an 825% premium to PotlatchDeltic, based on closing stock prices as of October 10, 2025[9] - Pro forma ownership will be 54% for Rayonier shareholders and 46% for PotlatchDeltic shareholders[9] - The combined company is expected to close in late first quarter or early second quarter of 2026[9] Synergies and Financial Impact - The merger is expected to generate $40 million in annual run-rate synergies, primarily from corporate and operating overhead cost savings[8,9] - The combined company will have a pro forma market capitalization of approximately $71 billion[8] - The pro forma net leverage ratio is estimated to be approximately 25x[8] Combined Company Assets - The combined company will own approximately 42 million acres of timberlands[8,15] - The combined company's timberlands include 3227K acres in the U S South and 931K acres in the U S Northwest[18] - PotlatchDeltic's wood products facilities have the capacity to produce 12BBF of lumber annually and 150MMSF of plywood annually[21] Real Estate - Rayonier and PotlatchDeltic have demonstrated improving HBU premium realizations as well as a shift toward higher-value development sales over the past decade[37,38] - Rayonier and PotlatchDeltic have 79K acres under option for solar projects[48] - Rayonier has 154K acres under CCS lease in TX, LA, and AL[48]

Transaction Overview - Rayonier and PotlatchDeltic will merge in an all-stock transaction, with PotlatchDeltic shareholders receiving 1.7339x Rayonier shares for each PotlatchDeltic share[1,9] - The transaction represents an 825% premium to PotlatchDeltic, based on closing stock prices as of October 10, 2025[9] - Pro forma ownership will be 54% for Rayonier shareholders and 46% for PotlatchDeltic shareholders[9] - The combined company is expected to close in late first quarter or early second quarter of 2026[9] Synergies and Financial Impact - The merger is expected to generate $40 million in annual run-rate synergies, primarily from corporate and operating overhead cost savings[8,9] - The combined company will have a pro forma market capitalization of approximately $71 billion[8] - The pro forma net leverage ratio is estimated to be approximately 25x[8] Combined Company Assets - The combined company will own approximately 42 million acres of timberlands[8,15] - The combined company's timberlands include 3227K acres in the U S South and 931K acres in the U S Northwest[18] - PotlatchDeltic's wood products facilities have the capacity to produce 12BBF of lumber annually and 150MMSF of plywood annually[21] Real Estate - Rayonier and PotlatchDeltic have demonstrated improving HBU premium realizations as well as a shift toward higher-value development sales over the past decade[37,38] - Rayonier and PotlatchDeltic have 79K acres under option for solar projects[48] - Rayonier has 154K acres under CCS lease in TX, LA, and AL[48]

Group 1 - The deal will result in a combined company with an enterprise value exceeding $8 billion [1]

Core Viewpoint - Rayonier and PotlatchDeltic announced a merger in an all-stock deal valued at approximately $8.2 billion, including debt, aiming to create one of North America's largest publicly traded timber and wood companies [1] Company Summary - The merger will combine the strengths of Rayonier and PotlatchDeltic, enhancing their market position in the timber and wood industry [1] - The deal is structured as an all-stock transaction, indicating a strategic move to consolidate resources and capabilities without immediate cash outflow [1] Industry Summary - This merger is expected to significantly impact the North American timber and wood market by creating a larger entity with increased operational efficiencies and market reach [1] - The combined company will likely benefit from economies of scale, potentially leading to improved profitability and competitive advantages in the industry [1]

Exclusive: Rayonier and PotlatchDeltic plan to combine in an all-stock deal that would create a more than $7 billion forestry giant, according to people familiar with the matter https://t.co/Ex4O6PMuxw ...