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08:54:08 EDT Mon 20 May 2013
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Domtar Corp (2)
Symbol C : UFS
Shares Issued 42,513,417
Close 2012-05-11 C$ 81.18
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Globe/CP say Domtar acquires EAM for $61-million (U.S.)

2012-05-14 06:08 ET - In the News

The Globe and Mail reports in its Saturday edition that Domtar, a maker of specialty and packaging papers as well as adult incontinence products, announced Friday that it has acquired privately held EAM Corp. for $61-million (U.S.). A Canadian Press dispatch to The Globe reports that the acquisition of EAM from Kinderhook Industries LLC will give the company long-term research capabilities to "further differentiate our full line of adult incontinence products while integrating the best available technology to grow our existing businesses," said chief executive officer John Williams. EAM develops and manufactures high-quality absorbent composite materials used in feminine hygiene, adult incontinence, baby diapers and other medical, health-care and performance packaging solutions. EAM operates a 71,000-square-foot facility with a state-of-the-art research campus and production lines in Jesup, Ga., and has annual sales of about $45-million (U.S.) in more than 50 countries. RBC Capital Markets analyst Paul Quinn says the purchase of EAM adds research and development capabilities, and allows Domtar to increase United States sales of fluff, which are primarily shipped at higher cost to Asia.