International Paper To Acquire DS Smith For $9.9B, Expects To Deliver $514M In Synergies
Portfolio Pulse from Benzinga Newsdesk
International Paper (IP) is set to acquire DS Smith (DSSMY) for $9.9 billion, aiming to create a global leader in sustainable packaging solutions. The deal is expected to deliver significant shareholder value, enhance customer offerings, and achieve at least $514 million in synergies. It will be EPS accretive in the first year and maintain a strong investment-grade balance sheet, reflecting both companies' commitment to sustainability and responsible growth.

April 16, 2024 | 8:39 am
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POSITIVE IMPACT
DS Smith's acquisition by International Paper for $9.9 billion highlights the company's value and strategic fit in the sustainable packaging industry.
DS Smith shareholders are likely to benefit from the acquisition through the premium paid and the strategic alignment with International Paper's global operations. The focus on sustainability and responsible growth further enhances the deal's attractiveness.
CONFIDENCE 75
IMPORTANCE 75
RELEVANCE 80
POSITIVE IMPACT
International Paper's acquisition of DS Smith for $9.9 billion is expected to be EPS accretive from year one, with significant synergies of $514 million anticipated.
The acquisition is likely to be viewed positively by the market due to the expected EPS accretion and significant cost synergies. The focus on sustainable packaging solutions could also enhance IP's market positioning and long-term growth prospects.
CONFIDENCE 80
IMPORTANCE 85
RELEVANCE 90