Graphic Packaging has acquired the remaining shares that International Paper held in the companies’ packaging merger, completing its takeover of Graphic Packaging International Partners.
The deal – which sees Graphic Packaging now own 100% of the merger – concludes the company’s partnership with International Paper.
As part of the final transaction, Graphic Packaging exchanged shares of common stock for International Paper’s remaining minority partnership interest of over 22 million membership units.
“The partnership with International Paper played an important role as we established our leadership position in fibre-based consumer packaging across all three paperboard substrates,” said Michael Doss, Graphic Packaging president and CEO.
Graphic Packaging formed the $6 billion merger with International Paper’s North America consumer packaging business back in January 2018; which saw it own 79.5% of the partnership and become the sole manager, while International Paper held a 20.5% stake.
Over the last year, International Paper has reduced its interest in the partnership company, with Graphic Packaging upping its ownership stake to 82.5% following two transactions, each at $250 million.
Doss added: “The highly integrated model we have built enables us to serve a broad set of global customers with new and innovative packaging solutions, positioning us to achieve the ambitious growth and return goals established in Vision 2025.
“I want to thank Mark Sutton, chairman and CEO, and the entire International Paper team for their contributions in building a platform to service and grow with new customers in attractive markets. The partnership was mutually beneficial and provided returns for both companies.”
© FoodBev Media Ltd 2021
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