Domtar Signs Deal With DSG International

Domtar has signed a $272-million deal to buy Associated Hygienic Products, a U.S. maker of store brand infant diapers.
Domtar estimates that its personal care division will see $10-million in annual savings within two years of the deal, benefiting from lower purchasing costs, lower general and administrative costs and a sharing of best practices.
The 621-employee company reports $320-million in annual sales.
The deal is expected to close in the second quarter of this year, subject to closing conditions.
Domtar President and Chief Executive Officer John Williams says the market for store brand infant diapers is growing steadily in North America.