Another twist in the story for International Paper. The U.S. packaging and paper manufacturer announced on Thursday, October 15, that it is reviewing proposals to sell its packaging operations in Europe, the Middle East, and Africa (EMEA). These offers, which the company says it received unsolicited, could call into question its plan to spin off and take this business public.
According to the Financial Times , two investment funds, Lone Star and Atlas Holdings, are reportedly the last remaining candidates under consideration. The potential offers would value the group at less than $6 billion. However, International Paper has not disclosed the names of the interested buyers or the amounts of the proposals.
A sale rather than an initial public offering?
Last January, International Paper announced its intention to spin off its EMEA packaging business from the rest of the group . On Wednesday, October 14, he had once again confirmed that this transaction would take the form of an initial public offering on the London Stock Exchange, accompanied by a program of American Depositary Receipts (ADRs) listed in New York.
But the interest shown by several investors opens up another possibility. On Thursday, October 15, while International Paper stated that it is continuing preparations for this spin-off, it also indicated that it is exploring a potential sale. However, discussions are still in the early stages. The company emphasizes that no guarantee can be given regarding the conclusion of an agreement or the completion of the sale.
Another change less than two years after the acquisition of DS Smith
This potential sale comes after the The merger between International Paper and DS Smith, which was finalized in January 2025 , which resulted in a group of 65,000 employees worldwide. International Paper had valued the acquisition of the British group at approximately 7.8 billion pounds, including debt.
In its 2025 annual report, International Paper reported that it had recorded a $2.47 billion impairment charge on the book value of its packaging operations in Europe, the Middle East, and Africa. Recorded in the fourth quarter of 2025, this impairment resulted from a revaluation of those operations, taking into account new economic and industry outlooks as well as the planned separation of the group?s North American and European operations.
The U.S. group has not yet decided between a sale and an initial public offering. For now, it is proceeding with its investor presentation on DS Smith, scheduled for November 3, 2026.
