BELLEVUE, WA, March 31, 2012 /CNW/ - Steelhead Partners, LLC ("Steelhead") announced today that it has reserved its decision whether or not to tender shares of Fibrek, Inc. ("Fibrek") held by Steelhead Navigator Master, L.P. ("Steelhead Navigator") to the offer made by AbitibiBowater, Inc. doing business as Resolute Forest Products ("Resolute") until the minimum tender condition contained in the Resolute offer (as it may be amended) has been met. Steelhead has not yet made any decision or commitment to tender Steelhead Navigator's Fibrek shares to the Resolute offer should such condition be satisfied. Steelhead has not currently tendered Steelhead Navigator's shares to either the Resolute offer or to the competing offer of Mercer International Inc. ("Mercer").
Both Steelhead and Steelhead Navigator are independent parties in this matter. Steelhead Navigator is a shareholder of each of Fibrek, Mercer and Resolute. Steelhead's only goal has been to support the offer which creates the greatest possible value for Steelhead Navigator's investment. In evaluating any tender offer, Steelhead seeks to look past the cash price. Instead, Steelhead carefully examines the overall package of consideration offered and focuses on the potential synergies that will be created by the combined companies as the true drivers of long-term value. Steelhead expects that such an offer will have the support of a significant majority of Fibrek shareholders and will ultimately be successful.
Steelhead Navigator holds 6,479,000 common shares of Fibrek, representing 4.98% of the outstanding shares. Steelhead Navigator's weighted average acquisition cost of its Fibrek common shares is $0.993 per share. Steelhead Navigator's weighted average acquisition cost for Fibrek common shares purchased subsequent to the announcement of the Resolute offer is $0.991 per share and the highest price paid was $1.02 per share.
For further information:
Brent Binge, Steelhead Partners, LLC