According to Ilim Group, the divestment process is in the final stage and the deal is expected to finalised in April.
The government commission for control of foreign investment in the Russian Federation has approved the sale of International Paper's (IP) 50 per cent stake in the holding company Ilim SA to its Russian joint venture-partners. According to an announcement published by the Ilim group, the divestment process is in its final stage and is expected to be completed in April 2023. However, as the sales process is taking place in a "changing political and regulatory environment" the timing of deal coud be affected, it is said.
The Swiss-based holding company Ilim SA owns 96.37 per cent of JSC Ilim Group. US pulp, paper and packaging giant International Paper and its Russian JV-partner, a group of investors consisting of Zakhar Smushkin and the Zingarevich brothers, each own a 50 per cent stake in Ilim SA.
Ilim Group confirmed the value of the deal at $484m. The JV partner has also agreed to buy IP's remaining 2.39 per stake in JSC Ilim Group for $24m.