June 3 (Reuters) - Canadian forestry firm Domtar Corp (UFS.TO: Quote, Profile, Research) (UFS.N: Quote, Profile, Research) said on Wednesday it raised the tender cap for its 7.875 percent notes due 2011 to $400 million from $250 million.

Earlier in the day, the company said it planned to offer $250 million worth senior notes and use the proceeds to buy the 7.875 percent notes due 2011.

On Monday, Domtar had announced a 1-for-12 reverse stock split.

The company, which mainly sells office paper, has been idling mills and cutting jobs to save costs as the current economic turmoil has pulled down demand for some of its products.

Domtar's shares closed at C$1.55 Wednesday on the Toronto Stock Exchange. (Reporting by Santosh Nadgir and Isheeta Sanghi in Bangalore; Editing by Jarshad Kakkrakandy)