International Paper gains after co explores options for cellulose fibers unit

DS Smith

31/10/2024 12:27

** Shares of International Paper  IP.N  up 6.1% at $52.01
premarket
    ** Co says exploring strategic options for its global
cellulose fibers business and will close its pulp and paper mill
in Georgetown, South Carolina
    ** The global cellulose fibers business made pulp for
feminine care and personal care products, as well as raw
material for textile, paints and construction materials and
generated $2.9 billion in revenue in 2023 - IP
    ** Co says 674 employees to be impacted by closure of the
Georgetown mill
    ** IP, which is buying DS Smith  SMDS.L  in an all-share
deal valuing the British packaging firm at 5.8 billion pounds
($7.2 billion), tops Q3 profit expectations, while rev in-line
    ** Q3 Adj EPS of 44 cents, vs estimates of 26 cents - LSEG
    ** As of last close, IP shares down ~36% YTD

 (Reporting by Juveria Tabassum in Bengaluru)
 ((Juveria.Tabassum@thomsonreuters.com;))