Fortress Paper Ltd. (TSX:FTP) has completed its previously announced $40.25 million debenture offering.
Under the bought deal, Fortress offered 6.50% convertible unsecured subordinated debentures.
Fortress plans to use the proceeds for working capital, general corporate purposes and debt reduction. It will also use the money to fund its specialty cellulose project.
Headquartered in North Vancouver, the company has operations internationally with three distinct business segments.
Its Canadian specialty cellulose mill produces dissolving pulp. Fortress is also planning to expand into renewable energy with the construction of a co-generation facility.
Fortress’ Landqart mill in Switzerland produces banknote, passport and visa security papers, and its Fortress Optical facility in Canada produces thin film material.
The company’s mill in Dresden, Germany, produces wallpaper base products.
Fortress could not be reached for comment by press time. As of press time, Fortress Paper’s share price had dropped 0.23% to $26.37.
Emma Crawford