WISCONSIN RAPIDS, WI (WSAU) — It was a polite “no comment” from Wisconsin Rapids Mayor Shane Blaser after word that a holding company out of Connecticut has made a cash offer to purchase Verso Corporation last week.
“We’ve been reading some articles on the Atlas Holding Company. There is an offer to purchase shares of Verso, so now it’s kind of up to Verso to see if they will entertain or negotiate further,” said Blaser on Wednesday, just after the Wisconsin Rapids Daily Tribune reported the company offered $20 per share cash to buy Verso.
Blaser says at this point Verso is holding all the cards in the situation but the city is keeping an eye on things and is ready to step in if need be. “Should this become a viable option, Verso accepts the proposal, those discussions will happen later on.”
Verso has acknowledged the offer but says it’s still too early to say if they will accept it or even begin negotiations. Additionally, if Verso were to accept the sale there’s still no guarantee that it would lead to the Wisconsin Rapids facility coming back online.
In the meantime, Blaser says the city is also preparing for what could happen if the facility doesn’t have a future as a paper mill and would need to be repurposed for something else. “Our community development director is reviewing ten proposals that research and evaluate the site for other possible uses. So that will be going on here shortly.”
Blaser adds that ideally, he would like the mill to have been restarted yesterday, but realistically they’d like the lumber to be rolling again by this winter. The equipment has already sat idle and cold for one winter. Doing so for a second consecutive could lead to more restart costs and maintenance on the equipment.
Verso has remained hot and cold in their desire to sell the idled mill, which has now sat empty for exactly one year. The building did suffer a lightning strike and fire during a storm earlier this summer, but that did not damage any vital equipment and has not dampened a proposed cooperative’s enthusiasm towards purchasing the facility to restart it.
Governor Tony Evers recently vetoed a plan that would have used American Recovery Act funding to issue short-term loans to that group and another looking to purchase an idled mill in Park Falls.
Other topics Blaser discussed with WSAU’s Mike Leischner include:
Start of video- plans going forward for the idled Verso mill
6:10- update on the jobs that were lost last year when the mill closed and other jobs that are open in the city
8:30- Plans for an Honor Walk in Wisconsin Rapids next summer
