Towards a new packaging consolidationâeuros? Après the takeover of American WestRock by Ireland's Smurfit dS Smith could join Mondi in the $11 billion deal expected to be finalized in the second quarter of 2024.
In response to recent media speculation, DS Smith confirms in a press release that it has received an expression of interest "very preliminary" from its competitor.
DS Smith Board of Directors "understands that Mondi is considering a possible bid for DS Smith, even though no proposal has been received at this stage" emphasizes the British group, which specializes in carton packaging, paper and recycling services.
With facilities in Europe and North America, DS Smith has sales of £8.2 billion (?9.6 billion) for the 2022-2023 financial year, including £6.5 billion (?7.6 billion) in packaging.
In response to this announcement by DS Smith, Mondi confirms that it is in the early stages of a possible combination of all shares with DS Smith. The group, which has sites in Europe, North America and Africa, is forecasting sales of 8.9 billion euros for the 2022 financial year, including around 7.3 billion in carton packaging, flexible packaging and paper. These sales include the Group's Russian activities, which have since been sold.
Mondi points out that it regularly considers various options as part of its capital allocation aimed at accelerating growth in the structural growth packaging sectors in which it operates.
Under UK takeover rules, Mondi has until March 7, 2024, to announce either its firm intention to make an offer for DS Smith, or that it does not wish to make an offer. This deadline may be extended.
