Structurlam Files For Bankruptcy, May Sell To Mercer International

Structurlam Mass Timber Corp. has filed for bankruptcy protection and agreed to sell the company’s new Conway, Ark. CLT plant and its Canadian assets for $60 million, pending court approval.

Structurlam entered the asset-purchase agreement with Mercer International Inc., a global forest products company which operates a mass timber facility in Spokane, Wash. However, Mercer’s purchase is subject to a better offer in a court-monitored process.

The Conway facility opened in 2021 in a project that was pitched as a long-term $90 million investment to establish Structurlam’s first U.S. plant. The investment was tied to a deal to produce 1.7 million cubic feet of mass timber for Walmart’s new corporate headquarters in Bentonville, Ark. But in January Structurlam suspended operations in Conway after Walmart canceled work with the manufacturer. The move led to about 144 employees being laid off.

“I am delighted and grateful for Mercer’s vote of confidence in Structurlam and in its leadership in the mass timber industry,” Structurlam Chief Executive Officer Matthew Karmel said in a statement. “It is especially rewarding given the difficult period the company has had since suspending its operations in Arkansas mid-January, and it will help in normalizing the plant operations going forward.”