By Katherine Hamilton

Rayonier Advanced Materials' shareholder Mill Pond Capital has asked the board to sell the company.

The shareholder, which owns about 3% of Rayonier, sent a letter to the board Wednesday arguing that the company's assets were worth a lot but weren't being managed well.

"The math is not complicated: combine the business with a strategic acquirer, eliminate the duplicative overhead, and you have a company that not only works, but thrives," Dan Farb, managing member of Mill Pond, said in the letter.

Farb said he sent a private letter in May to board chair Julie Dill and had a call with her, during which he said he thought a full sale would be the best path forward for the company.

Dill assured Farb that the board was "working to do what is best for shareholders," Farb said, which he saw as an insufficient response.

Rayonier didn't immediately respond to a request for comment.

Rayonier's assets, including its specialty cellulose operations, would be attractive to buyers, Farb said.

However, he said that the company's roughly $55 million to $60 million in annual corporate overhead, as well as years of reporting a loss from continuing operations, pointed to deep-seated financial problems that Rayonier hasn't been able to address.

He noted that a buyer offered to acquire Rayonier for $11 to $12 a share in November 2025, which was disclosed in a public filing earlier this year. Rayonier's board rejected the proposal.

In April, Rayonier said it was exploring strategic alternatives and Chief Executive Scott Sutton resigned.

"The strategic review was the right call," Farb said. "Now finish it. Sell the Company."

Write to Katherine Hamilton at katherine.hamilton@wsj.com

(END) Dow Jones Newswires

June 17, 2026 09:53 ET (13:53 GMT)

Copyright (c) 2026 Dow Jones & Company, Inc.