International Paper (IP) has finalised the takeover of British paper and packaging group DS Smith on 31 January. This marks the creation of an industry giant and global player in fibre-based packaging solutions in North American and European markets. The two companies put combined pro forma annual sales at US$28bn.
IP said at the end of January that pursuant to the acquisition, it would issue 0.1285 of new shares of common stock for each ordinary share of DS Smith, resulting in the issuance of approximately 179,847,780 new shares of IP common stock. The new shares started trading on the New York Stock Exchange and the London Stock Exchange on 4 February.
The completion of the deal comes after the EU gave green light to the transaction on 24 January under the condition that IP sells five of its plants in Europe. The site's concerned are the French Cabourg corrugated sheet plant as well as the four corrugated packaging plants Saint-Amand and Mortagne in France, Bilbao in Spain and Ovar in Portugal. IP has not yet made any announcement about the sale or potential buyers.
