Katerra’s Factory Sales Approved, Netting Estate $71 Million

Katerra Inc. won court approval to sell factories in Washington state and California for a total of $71 million after the bankrupt construction materials company reported uncontested initial offers for both facilities.

Blue Varsity LLC, a wholly owned subsidiary of Mercer International Inc., is purchasing Katerra’s cross-laminated timber factory in Spokane, Wash. The engineered wood product made there is primarily used for commercial and residential building construction.

Volumetric Building Companies, a Philadelphia-based construction company, agreed to buy Katerra’s two-year-old factory in Tracy, Calif. That facility produces wood-framed walls, floor trusses, roof trusses, cabinets, and other housing components.

Judge David R. ...