Glatfelter (NYSE: GLT) is acquiring Dresden Papier GmbH from Fortress Paper Ltd. (TSE: FTP) for $209 million.
Dresden Papier, headquartered in Heidenau, Germany, supplies nonwoven wallpaper base materials to wallpaper manufacturers. Nonwoven wallpaper doesn’t shrink or expand when wet and can be stripped when it’s dry. The company had revenue of about $151 million in 2012.
Glatfelter plans to fund the deal with cash and debt. The company had a cash balance of $98 million with $345 million available under its revolving credit facility as of Dec. 31.
The York, Pa.-based buyer manufactures specialty papers and fiber-based engineered materials.