Tembec reports second-quarter profit up from year ago ahead of takeover vote

MONTREAL -- Tembec Inc.(TSX:TMB) says it earned $17 million in its latest quarter, up from $9 million in the same quarter a year ago.

The forestry company says the profit for the quarter ended June 24 amounted to 17 cents per share compared with a profit of nine cents per share in the same period last year.

Consolidated sales for the three-month period totalled $419 million, up from $376 million.

Tembec shareholders are expected to vote Thursday on a friendly takeover offer for the company by Rayonier Advanced Materials Inc.

The U.S. company raised its offer on Sunday in order to win support of two of Tembec's largest shareholders who threatened to vote against the agreement.

Oaktree Capital Management LP and Restructuring Capital Associates LP had raised concerns the offer was too low, but agreed to support the deal after the offer was raised.

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