International Paper Announces Overwhelming Shareholder Approval in Connection with the Proposed Acquisition of DS Smith
International Paper (NYSE: IP) has announced overwhelming shareholder approval for its pending acquisition of DS Smith (LSE: DSS). DS Smith shareholders have also approved the Combination earlier this week. The companies expect the deal to close late in the fourth quarter of 2024, subject to regulatory clearance and other customary conditions.
Andy Silvernail, Chairman and CEO of International Paper, stated that the strong approval from both companies' shareholders confirms the support for this combination. He emphasized that merging the two companies will create a global leader in sustainable packaging solutions, driving significant value for employees, customers, and shareholders.
International Paper (NYSE: IP) ha annunciato un'approvazione schiacciante da parte degli azionisti per la sua acquisizione di DS Smith (LSE: DSS) in sospeso. Anche gli azionisti di DS Smith hanno approvato la combinazione all'inizio di questa settimana. Le aziende si aspettano che l'accordo si chiuda alla fine del quarto trimestre del 2024, soggetto all'approvazione normativa e ad altre condizioni abituali.
Andy Silvernail, Presidente e CEO di International Paper, ha dichiarato che il forte consenso da parte degli azionisti di entrambe le aziende conferma il supporto per questa combinazione. Ha sottolineato che la fusione delle due aziende porterà a un leader globale nelle soluzioni di imballaggio sostenibile, generando un significativo valore per dipendenti, clienti e azionisti.
International Paper (NYSE: IP) ha anunciado una aprobación abrumadora de los accionistas para su adquisición pendiente de DS Smith (LSE: DSS). Los accionistas de DS Smith también han aprobado la combinación a principios de esta semana. Las empresas esperan que el acuerdo se cierre al final del cuarto trimestre de 2024, sujeto a la autorización regulatoria y otras condiciones habituales.
Andy Silvernail, Presidente y CEO de International Paper, declaró que la fuerte aprobación de los accionistas de ambas compañías confirma el apoyo a esta combinación. Subrayó que la fusión de las dos compañías creará un líder global en soluciones de empaque sostenible, generando un valor significativo para empleados, clientes y accionistas.
인터내셔널 페이퍼(뉴욕증권거래소: IP)는 DS 스미스(런던증권거래소: DSS)의 인수에 대해 압도적인 주주 승인을 발표했습니다. 이번 주 초 DS 스미스의 주주들도 이 조합을 승인했습니다. 양사는 2024년 4분기 말에 거래가 완료될 것으로 예상하고 있으며, 이는 규제 승인을 포함한 일반적인 조건에 따릅니다.
인터내셔널 페이퍼의 회장 겸 CEO인 앤디 실버네일은 두 회사의 주주들로부터의 강력한 승인이 이 조합에 대한 지지를 확인해준다고 밝혔습니다. 그는 두 회사를 통합함으로써 지속 가능한 포장 솔루션의 글로벌 리더를 창출하고, 직원, 고객 및 주주에게 상당한 가치를 창출할 것이라고 강조했습니다.
International Paper (NYSE: IP) a annoncé une approbation écrasante des actionnaires pour son acquisition en attente de DS Smith (LSE: DSS). Les actionnaires de DS Smith ont également approuvé la combinaison plus tôt cette semaine. Les entreprises s'attendent à ce que l'accord se termine fin du quatrième trimestre 2024, sous réserve de l'autorisation réglementaire et d'autres conditions habituelles.
Andy Silvernail, Président et CEO d'International Paper, a déclaré que le soutien fort des actionnaires des deux entreprises confirme l'approbation de cette combinaison. Il a souligné que la fusion des deux entreprises créera un leader mondial en solutions d'emballage durables, générant une valeur significative pour les employés, les clients et les actionnaires.
International Paper (NYSE: IP) hat eine überwältigende Zustimmung der Aktionäre für die bevorstehende Übernahme von DS Smith (LSE: DSS) объявил. Auch die Aktionäre von DS Smith haben diese Kombination Anfang dieser Woche genehmigt. Die Unternehmen erwarten, dass der Deal spätestens im vierten Quartal 2024 abgeschlossen wird, vorbehaltlich der behördlichen Genehmigung und anderer üblicher Bedingungen.
Andy Silvernail, Vorsitzender und CEO von International Paper, erklärte, dass die starke Zustimmung der Aktionäre beider Unternehmen die Unterstützung für diese Kombination bestätigt. Er betonte, dass die Fusion der beiden Unternehmen einen globalen Marktführer für nachhaltige Verpackungslösungen schaffen wird, was erheblichen Wert für Mitarbeiter, Kunden und Aktionäre schafft.
- Overwhelming shareholder approval for the acquisition
- Creation of a global leader in sustainable packaging solutions
- Potential for significant value creation for stakeholders
- Pending regulatory clearance and other closing conditions
- Completion of the deal not expected until late Q4 2024
Insights
The overwhelming shareholder approval for International Paper's acquisition of DS Smith is a significant milestone, indicating strong investor confidence in the strategic move. This $10 billion deal will create a global packaging powerhouse, potentially reshaping the industry landscape. The combined entity is expected to generate annual synergies of approximately
For investors, this merger presents both opportunities and challenges. On the positive side, the increased scale and geographical diversification could lead to improved market positioning and cost efficiencies. However, integration risks and potential regulatory scrutiny remain key concerns. The expected closing in Q4 2024 suggests a prolonged period of uncertainty, which may impact short-term stock performance.
Investors should closely monitor the regulatory approval process and any potential divestitures required to satisfy antitrust concerns. The success of this merger will largely depend on the combined company's ability to leverage complementary strengths and navigate the evolving packaging market, particularly in sustainable solutions.
The merger between International Paper and DS Smith is poised to create a formidable player in the global packaging industry. This consolidation reflects the ongoing trend of scale-building in response to evolving market dynamics, including the rise of e-commerce and increased demand for sustainable packaging solutions.
Key market implications include:
- Enhanced product portfolio and innovation capabilities
- Strengthened position in both mature and emerging markets
- Potential for improved pricing power and customer relationships
However, the combined entity will face challenges such as integrating different corporate cultures and managing a more complex global operation. The success of this merger could trigger further industry consolidation as competitors seek to maintain their market positions. Investors should watch for potential shifts in customer preferences, regulatory landscapes and technological advancements that could impact the long-term value proposition of this combination.
International Paper will report the final vote results of the special shareholder meeting in a Current Report on Form 8-K filed with the
"The overwhelming approval from both DS Smith and IP shareholders confirms the strong support of this combination," said Andy Silvernail, Chairman and CEO of International Paper. "Bringing the two companies together will create a true global leader of sustainable packaging solutions which will drive significant value for our employees, customers and shareholders."
About International Paper
International Paper (NYSE: IP) is a global provider of renewable fiber-based packaging and pulp products, and one of the world's largest recyclers. Headquartered in Memphis, Tenn., we employ approximately 39,000 colleagues globally who are committed to creating what's next. We serve customers worldwide, with manufacturing operations in North America, Europe, Latin America and North Africa. Net sales for 2023 were
Cautionary Statement Regarding Forward-Looking Statements
Certain statements in this press release that are not historical in nature may be considered "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. Forward-looking statements can be identified by the use of forward-looking or conditional words such as "expects," "anticipates," "believes," "estimates," "could," "should," "can," "forecast," "intend," "look," "may," "will," "remain," "confident," "commit" and "plan" or similar expressions. These statements are not guarantees of future performance and reflect management's current views and speak only as to the dates the statements are made and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied in these statements. All statements, other than statements of historical fact, are forward-looking statements, including, but not limited to, statements regarding the anticipated financial results, economic conditions, industry trends, future prospects and the execution and consummation of corporate transactions or contemplated acquisitions including the acquisition of DS Smith Plc (the "Combination"). Factors which could cause actual results to differ include but are not limited to: (i) our ability to consummate and achieve the benefits expected from, and other risks associated with, acquisitions, joint ventures, divestitures, spinoffs, capital investments and other corporate transactions, including, but not limited to, the Combination and our ability to integrate and implement our plans, forecasts, and other expectations with respect to the combined company; (ii) uncertainty as to whether or when the Combination may be completed, if at all; (iii) risks with respect to climate change and global, regional, and local weather conditions, as well as risks related to our targets and goals with respect to climate change and the emission of greenhouse gases ("GHG") and other environmental, social and governance matters, including our ability to meet such targets and goals; (iv) loss contingencies and pending, threatened or future litigation, including with respect to environmental related matters; (v) the level of our indebtedness, risks associated with our variable rate debt, and changes in interest rates (including the impact of interest rate levels); (vi) the impact of global and domestic economic conditions and industry conditions, including with respect to current negative macroeconomic conditions, inflationary pressures and changes in the cost or availability of raw materials, energy sources and transportation sources, supply chain shortages and disruptions, competition we face, cyclicality and changes in consumer preferences, demand and pricing for our products, and conditions impacting the credit, capital and financial markets; (vii) risks arising from conducting business internationally, domestic and global geopolitical conditions, military conflict (including the Russia/Ukraine conflict, the conflict in the Middle East, the possible expansion of such conflicts, and the potential geopolitical and economic consequences associated therewith), changes in currency exchange rates, trade protectionist policies, downgrades in our credit ratings, and/or the credit ratings of banks issuing certain letters of credit, issued by recognized credit rating organizations; (viii) the amount of our future pension funding obligations, and pension and healthcare costs; (ix) the costs of compliance, or the failure to comply with, existing and new environmental (including with respect to climate change and GHG emissions), tax, labor and employment, privacy, anti-bribery and anti-corruption, and other
IP's Definitive Proxy Statement filed with the SEC on September 12, 2024, as supplemented on October 1, 2024 (the "Proxy Statement") relating to the issuance by International Paper of new shares of common stock, par value
Additional Information
This press release may be deemed to be solicitation material in respect of the Combination, including the Share Issuance. To the extent IP effects the Combination as a scheme of arrangement under the laws of the United Kingdom, the Share Issuance does not require registration under the
Investors and shareholders will be able to obtain free copies of the Proxy Statement and other documents filed by IP with the SEC at the SEC's website at http://www.sec.gov. In addition, investors and shareholders will be able to obtain free copies of the Proxy Statement, the scheme document, and other documents filed by IP with the SEC at https://www.internationalpaper.com/investors.
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SOURCE International Paper
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