International Paper in talks with bidders for EMEA packaging business
IP•International Paper said it is in talks with potential bidders for its EMEA packaging business after unsolicited approaches, while continuing to pursue a planned spinoff. The sale process is at an early stage, with no certainty of a deal; its shares rose about 8%.
1. Sale process begins
International Paper said it is evaluating a potential sale of its Europe, Middle East and Africa packaging business after unsolicited approaches. The process is at an early stage, and the company said there is no certainty a deal will be agreed.
2. Spinoff remains an option
The company is continuing to pursue a planned spinoff of the EMEA unit while evaluating a sale. It said there is no assurance about the ultimate timing or structure of the proposed separation. The business would combine regional operations from DS Smith, acquired for $7.2 billion last year, and International Paper.
3. Potential bids reported
Private equity firms Lone Star and Atlas Holdings were reportedly exploring separate bids for the business, potentially valuing it at less than $6 billion. International Paper had announced in January that the spun-off unit was expected to be listed in London and New York.
