International Paper has entered exclusive negotiations with PALM Group to divest five corrugated packaging plants in Europe as part of regulatory commitments following its acquisition of DS Smith.

Target Information

International Paper (IP), renowned for its sustainable packaging solutions, has entered into exclusive discussions with Germany’s PALM Group to divest five corrugated packaging plants located across Europe. This move follows the receipt of a non-retractable offer for the acquisition of these facilities and is part of regulatory commitments stemming from IP's recent acquisition of DS Smith.

The facilities involved in this divestiture include three plants situated in Normandy, France, specifically a box plant in Saint-Amand, another box plant in Mortagne, and a sheet plant in Cabourg. Additionally, the remaining two facilities are located in Ovar, Portugal and Bilbao, Spain. The process for this divestment is underway, subject to necessary consultations with French works councils and adherence to employee information procedures.

Industry Overview

The European packaging industry has been experiencing significant shifts towards sustainability and efficiency in recent years, driven by consumer demand for environmentally friendly products. Many companies are now focusing on reducing