Rayonier and The Rohatyn Group Announce Agreement on Sale of New Zealand Joint Venture Interest for $710 Million
Rayonier (NYSE:RYN) has agreed to sell its 77% interest in its New Zealand joint venture to The Rohatyn Group (TRG) for $710 million. The deal, which implies an enterprise value of $922 million for the joint venture, covers approximately 287,000 productive acres of timberlands.
The transaction, expected to close in 2025, represents multiples of ~18x three-year average EBITDA and ~30x three-year average timber-only EBITDA. Following the sale, Rayonier will focus exclusively on U.S. operations, with plans to use proceeds for debt reduction, shareholder returns through special dividends ($1.00 to $1.40 per share anticipated for 2025), and potential acquisitions.
This strategic move aligns with Rayonier's goal of capitalizing on the disconnect between public and private timberland values and reducing leverage in a higher interest rate environment. The company expects the transaction to be modestly accretive to pro forma CAD per share, with pro forma Net Debt to Adjusted EBITDA decreasing to approximately 0.3x before any capital redeployment.
Rayonier (NYSE:RYN) ha concordato di vendere la sua partecipazione del 77% nella joint venture in Nuova Zelanda al The Rohatyn Group (TRG) per 710 milioni di dollari. L'accordo, che implica un valore d'impresa di 922 milioni di dollari per la joint venture, copre circa 287.000 acri produttivi di terreni forestali.
La transazione, prevista per chiudere nel 2025, rappresenta multipli di circa 18 volte l'EBITDA medio triennale e circa 30 volte l'EBITDA medio triennale solo del legno. Dopo la vendita, Rayonier si concentrerà esclusivamente sulle operazioni negli Stati Uniti, con piani di utilizzare i proventi per la riduzione del debito, ritorni agli azionisti attraverso dividendi speciali (si prevede un dividendo tra 1,00 e 1,40 dollari per azione nel 2025) e potenziali acquisizioni.
Questa mossa strategica è in linea con l'obiettivo di Rayonier di capitalizzare sulla disconnessione tra i valori delle terre forestali pubbliche e private e ridurre la leva in un contesto di tassi d'interesse più elevati. L'azienda prevede che la transazione sarà moderatamente accrescitiva per il CAD pro forma per azione, con il debito netto pro forma rispetto all'EBITDA aggiustato che diminuirà a circa 0,3 volte prima di qualsiasi riutilizzo di capitale.
Rayonier (NYSE:RYN) ha acordado vender su participación del 77% en su empresa conjunta en Nueva Zelanda al The Rohatyn Group (TRG) por 710 millones de dólares. El acuerdo, que implica un valor empresarial de 922 millones de dólares para la empresa conjunta, abarca aproximadamente 287,000 acres productivos de tierras forestales.
Se espera que la transacción se cierre en 2025 y representa múltiplos de aproximadamente 18 veces el EBITDA promedio de tres años y aproximadamente 30 veces el EBITDA promedio de solo madera de tres años. Tras la venta, Rayonier se centrará exclusivamente en las operaciones en EE. UU., con planes de utilizar los ingresos para la reducción de deuda, retornos a los accionistas a través de dividendos especiales (se anticipa un dividendo de entre 1.00 y 1.40 dólares por acción para 2025) y posibles adquisiciones.
Este movimiento estratégico se alinea con el objetivo de Rayonier de capitalizar la desconexión entre los valores de tierras forestales públicas y privadas y reducir el apalancamiento en un entorno de tasas de interés más altas. La empresa espera que la transacción sea moderadamente accretiva para el CAD pro forma por acción, con la relación de deuda neta pro forma a EBITDA ajustado disminuyendo a aproximadamente 0.3 veces antes de cualquier reinversión de capital.
레이오니어 (NYSE:RYN)는 뉴질랜드 합작투자에서 77%의 지분을 로하틴 그룹(TRG)에 7억 1천만 달러에 판매하기로 합의했습니다. 이 거래는 합작투자에 대한 기업 가치를 9억 2천 2백만 달러로 평가하며, 약 287,000 에이커의 생산 가능한 임업지를 포함합니다.
2025년에 마감될 것으로 예상되는 이번 거래는 3년 평균 EBITDA의 약 18배, 목재 전용 3년 평균 EBITDA의 약 30배에 해당합니다. 판매 이후 레이오니어는 미국 운영에만 집중하고, 수익을 부채 감소, 특별 배당금(2025년 주당 1.00~1.40달러 예상)과 잠재적 인수에 사용할 계획입니다.
이 전략적 움직임은 공공 및 민간 임업지 가치 간의 불일치를 활용하고 높은 금리 환경에서 레버리지를 줄이려는 레이오니어의 목표와 일치합니다. 회사는 이 거래가 프로 포마 CAD 주당에 대해 약간의 가치를 더할 것으로 예상하며, 프로 포마 순부채 대비 조정 EBITDA 비율이 자본 재배치 이전에 약 0.3배로 감소할 것입니다.
Rayonier (NYSE:RYN) a accepté de vendre sa participation de 77 % dans son joint venture en Nouvelle-Zélande au The Rohatyn Group (TRG) pour 710 millions de dollars. L'accord, qui implique une valeur d'entreprise de 922 millions de dollars pour le joint venture, couvre environ 287 000 acres de terres forestières productives.
La transaction, qui devrait se clôturer en 2025, représente des multiples d'environ 18 fois l'EBITDA moyen sur trois ans et environ 30 fois l'EBITDA moyen sur trois ans uniquement pour le bois. Après la vente, Rayonier se concentrera exclusivement sur ses opérations aux États-Unis, avec des plans d'utiliser les revenus pour réduire la dette, des retours aux actionnaires par le biais de dividendes spéciaux (un dividende de 1,00 à 1,40 dollar par action est anticipé pour 2025) et des acquisitions potentielles.
Ce mouvement stratégique s'aligne avec l'objectif de Rayonier de tirer parti de la déconnexion entre les valeurs des terres forestières publiques et privées et de réduire l'effet de levier dans un environnement de taux d'intérêt plus élevé. L'entreprise s'attend à ce que la transaction soit modérément accretive pour le CAD pro forma par action, avec une diminution du ratio de la dette nette pro forma par rapport à l'EBITDA ajusté à environ 0,3 fois avant toute réaffectation de capital.
Rayonier (NYSE:RYN) hat sich darauf geeinigt, seinen 77% Anteil an seinem Joint Venture in Neuseeland an die Rohatyn Group (TRG) für 710 Millionen Dollar zu verkaufen. Der Deal, der einen Unternehmenswert von 922 Millionen Dollar für das Joint Venture impliziert, umfasst etwa 287.000 produktive Acres von Waldflächen.
Die Transaktion, die voraussichtlich 2025 abgeschlossen wird, repräsentiert Multiplikatoren von etwa 18-fach des dreijährigen durchschnittlichen EBITDA und etwa 30-fach des dreijährigen durchschnittlichen EBITDA nur für Holz. Nach dem Verkauf wird sich Rayonier ausschließlich auf die US-Operationen konzentrieren und plant, die Erlöse zur Reduzierung von Schulden, zur Rückführung an die Aktionäre durch Sonderdividenden (1,00 bis 1,40 Dollar pro Aktie für 2025 erwartet) und für potenzielle Akquisitionen zu verwenden.
Dieser strategische Schritt steht im Einklang mit Rayoniers Ziel, von der Diskrepanz zwischen öffentlichen und privaten Waldwerten zu profitieren und die Verschuldung in einem Umfeld höherer Zinssätze zu reduzieren. Das Unternehmen erwartet, dass die Transaktion moderat akquisitorisch für das pro forma CAD pro Aktie sein wird, wobei das pro forma Netto-Schulden-zu-adjusted EBITDA-Verhältnis vor einer Kapitalverlagerung auf etwa 0,3x sinken wird.
- Sale price represents attractive multiples: 18x three-year average EBITDA
- Significant debt reduction with Net Debt to Adjusted EBITDA decreasing to ~0.3x
- Special dividend of $1.00-$1.40 per share planned for 2025
- Transaction expected to be modestly accretive to pro forma CAD per share
- Total dispositions of $1.45 billion exceeded original $1 billion target
- Loss of geographic diversification with exit from New Zealand market
- Increased exposure concentration in U.S. timber markets
- Loss of revenue stream from carbon credit sales in New Zealand
Insights
Rayonier's $710 million sale of its 77% New Zealand joint venture stake represents a significant strategic repositioning that shifts the timber REIT to a pure-play U.S. operator. The transaction values the joint venture at $922 million, commanding impressive multiples of ~18x three-year average EBITDA and ~30x timber-only EBITDA (excluding carbon credit sales).
This divestiture marks the culmination of Rayonier's asset disposition plan launched in November 2023, bringing total dispositions to $1.45 billion - substantially exceeding their original $1 billion target. The deal's structure appears favorable, as Rayonier indicates it will be modestly accretive to Cash Available for Distribution (CAD) per share while dramatically strengthening the balance sheet. Pro forma Net Debt to Adjusted EBITDA will plummet to approximately 0.3x - an exceptionally conservative leverage position for a timber REIT.
The anticipated special dividend of $1.00-$1.40 per share represents a significant capital return (equivalent to 3.7%-5.1% of current share price). Following similar structures to previous returns, this will likely be paid as a combination of cash and shares. Beyond the dividend, management maintains flexibility for further share repurchases or acquisitions within their core U.S. markets.
This move aligns with two strategic imperatives: capitalizing on the public-private valuation gap in timberland assets and streamlining operations to enhance shareholder value. By exiting New Zealand, Rayonier eliminates exposure to potentially volatile log export markets while simplifying its portfolio and financial reporting structure.
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Rayonier is selling entities that hold its entire
77% New Zealand joint venture interest for a purchase price of , subject to net debt, working capital, and other adjustments$710 million -
Purchase price implies enterprise value of
for the$922 million New Zealand joint venture, which manages ~287,000 productive acres of timberlands as of 12/31/24 -
Rayonier’s exit from
New Zealand will allow the company to concentrate its capital in coreU.S. markets with favorable long-term growth prospects, while also simplifying and streamlining its portfolio, financial reporting, and shareholder value proposition -
TRG is well-positioned to drive future growth and value creation in the
New Zealand business given its expertise in managing global forestry assets as well as the long-term orientation of its capital base - Rayonier expects the transaction to be modestly accretive to pro forma CAD* per share, while pro forma Net Debt* to pro forma Adjusted EBITDA* is expected to decrease to ~0.3x (before any return of capital to shareholders or other redeployment of proceeds)
WILDLIGHT, Fla.--(BUSINESS WIRE)--
Rayonier Inc. (“Rayonier”) (NYSE:RYN) and The Rohatyn Group (“TRG”), an investment firm specializing in emerging markets and real assets, today announced an agreement for Rayonier to sell the entities that hold its entire
This sale marks the conclusion of Rayonier’s previously announced strategic review of its
Consistent with Rayonier’s large dispositions completed in 2023 and 2024, this transaction aligns with Rayonier’s previously stated goal of enhancing shareholder value by capitalizing on the disconnect between public and private timberland values and reducing leverage amid a higher interest rate environment. Further, exiting
In addition, the transaction will position the
The sale price of
“After completing a comprehensive review of strategic alternatives for our
“Since introducing our asset disposition and capital structure realignment plan in November 2023, we have now completed or announced pending dispositions totaling
“TRG is delighted to acquire Rayonier’s
TRG Partner and Head of Forestry & Agriculture, Mike Claridge, added, “Our organization has been investing in the
Additional details regarding the sale of Rayonier’s
About Rayonier
Rayonier is a leading timberland real estate investment trust with assets located in some of the most productive softwood timber growing regions in
About TRG
Founded in 2002, TRG is an investment management firm specializing in emerging markets and real assets. Headquartered in
TRG Forestry & Agriculture (formerly the business of GMO Renewable Resources) is comprised of a seasoned team of land investment professionals and is dedicated to the acquisition and management of diversified portfolios of timberland and/or farmland for the benefit of its clients. Employing a value-oriented approach, TRG seeks to invest in assets at prices reflecting biological yield potential. The team focuses on properties in lower-risk geographies where commercial forestry and agriculture are well-developed and good title, high-quality management, and adequate infrastructure are available.
For more information, please visit www.rohatyngroup.com.
Forward-Looking Statements –
Certain statements in this press release regarding anticipated financial and other benefits of Rayonier’s business strategies, including the proposed sale of the entities holding its interest in the
The following important factors, among others, could cause actual results or events to differ materially from those expressed in forward-looking statements that may have been made in this document: Rayonier’s ability to satisfy the conditions to the proposed sale of the entities holding its interest in the
For additional factors that could impact future results, please see Item 1A - Risk Factors in Rayonier’s most recent Annual Report on Form 10-K and similar discussion included in other reports that we subsequently file with the Securities and Exchange Commission (the “SEC”). Forward-looking statements are only as of the date they are made, and Rayonier undertakes no duty to update its forward-looking statements except as required by law. You are advised, however, to review any further disclosures Rayonier makes on related subjects in its subsequent reports filed with the SEC.
*Non-GAAP Financial Measures – To supplement Rayonier’s financial statements presented in accordance with generally accepted accounting principles in
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Investors/Media: Collin Mings, investorrelations@rayonier.com, 904-357-9100
Source: Rayonier Inc.