WAUSAU, WI (WTAQ) - As part of a major restructuring, Wausau Paper has completed a sale of its printing and color paper business to Neenah Paper of Georgia.
Wausau Paper received $21 million in exchange for trademarks, brand names, and a limited amount of papermaking equipment. No plants or mills were involved in the sale, which was first announced a few weeks ago.
As part of the restructuring, Wausau Paper is closing its 113-year-old mill in Brokaw, just north of Wausau. 450 employees are being let go this month. The plant has made the printing-grade paper lines that Wausau sold to Neenah Paper.
Wausau is also selling timber properties. But the Mosinee-based firm is keeping its specialty-paper products that include food packaging, tissues, tape-backings, and linings.
Wausau Paper’s largest shareholder – the Starboard Value hedge fund of New York – has called on the company to sell most of its other divisions, leaving only paper tissues. The firm also wants to influence the firm by putting members on the company’s board.