Pactiv Evergreen said Friday that it has completed the sale of its former paper mill in Canton to St. Louis-based Spirtas Worldwide.
The two companies have been engaged in a months-long legal battle over the site in the wake of Hurricane Helene.
“Pactiv Evergreen is pleased to announce the successful completion of the sale of the Canton site to Spirtas Worldwide,” a Pactiv Evergreen spokesperson said in a statement. “We thank our employees for their dedication and invaluable contributions to both our Company and the Canton community.”
Canton Mayor Zeb Smathers confirmed the sale in an interview with BPR Friday afternoon.
"It is official: Spirtas are now the owners of not just the mill site but Lake Logan Dam and the landfill," Smathers said. "This has always been Spirtas's intention. I remain cautiously optimistic about what Spirtas will do with this site and very appreciative of Eric and his company so far."
Spirtas Worldwide did not immediately respond to a request for comment from BPR. The company specializes in demolition, environmental remediation and property redevelopment.
News of the deal was first reported by the Smoky Mountain News, which cited a statement by Spirtas Worldwide president Eric Spirtas.
“Our vision is to breathe new life into this dormant site, transforming it into a hub of industrial, commercial and residential activity that will benefit the town of Canton and strengthen commerce in the area,” Spirtas said, according to the Smoky Mountain News.
Late last year, the Charlotte-based company Novolex purchased Pactiv Evergreen for $6.7 billion. Novolex did not respond to a request for comment Friday.
The fate of the site has been in limbo ever since Pactiv shuttered the 115-year-old mill in May 2023.
Spirtas filed a letter of intent to purchase the mill site in May 2024, and the sale was originally on track to close October 1. But the process was thrown off track by Hurricane Helene.
Pactiv Evergreen filed a lawsuit in response. Spirtas filed a counterclaim, voicing concerns over Pactiv’s insurance policy and alleged lack of access to the site.
Smathers said he does not know how much the mill site was sold for. He said he believes Spirtas "wants to be a good community partner" and that he recognizes the "tremendous opportunity" in the site.
"The standard is to look in the eyes of every mill worker and family and do something that's not just good, but great; that meets their sacrifices; that meets their success; that continues to tell their story; that is uniquely Canton and Haywood County and Western North Carolina but opens our future up," Smathers said.
Even if the site no longer belongs to Pactiv Evergreen, the company still faces a lawsuit by the state of North Carolina over the $12 million it received in exchange for creating jobs at the mill.
The state says Pactiv must return the funds because it did not fulfill its obligation to employ 800 people through the end of 2024. Pactiv argues that it is not obligated to return the full amount. A trial is set for May.
There is also the question of Canton’s wastewater treatment, which has been handled by Pactiv Evergreen for years. The town’s wastewater agreement with Pactiv is set to expire at the end of April; any agreement going forward will likely need to be worked out with the new owner.
Smathers said he's "not losing sleep" over the issue of Canton's wastewater treatment and is "confident" that the town will be able to work out an agreement with Spirtas to continue to meet the community's needs.
"A chapter has closed and a new one is starting," Smathers said. "And that is exciting for us and Spirtas, but also the entire region. Canton is open for business. We have been through so much. We have a long way to go in our recovery, just like so many other communities. But in some regards, this is proof that you have to keep going. You have to keep believing in your people and know the strength of your community."
