Owens-Illinois sold its forest products group.

Great Northern Nekoosa Corp. said it agreed to acquire the forest products group for $1.15 billion. The unit had been expected to be sold ever since Kohlberg Kravis Roberts & Co., the New York investment firm, acquired Owens-Illinois in a $3.64-billion leveraged buyout in February. Toledo, Ohio-based Owens-Illinois is one of the world’s largest packaging concerns. The forest products group had 1986 revenue of $730 million. The unit also operates 21 corrugated box plants.