Brazil's Suzano agrees to buy two US paper plants from Pactiv for $110 mln (updated)

Suzano SA

12/07/2024 23:17

(Adds details of the deal in paragraphs 2-5, context in
paragraph 6)
       SAO PAULO, July 12 (Reuters) - Brazilian pulpmaker
Suzano  SUZB3.SA  has reached an agreement to buy two paper
plants from U.S-based packaging firm Pactiv Evergreen  PTVE.O 
for $110 million, the companies announced in filings on Friday.
    Under the deal, Suzano will buy a mill in Pine Bluff,
Arkansas, and a facility in Waynesville, North Carolina, which
produce paper used for cups as well as food and beverage
packaging materials, according to the companies.
        In its filing, Suzano specified that the plants have a
total paperboard production capacity of about 420,000 metric
tons per year.
  
        The two companies also agreed on a long-term deal under
which Pactiv Evergreen will provide services to Suzano in the
plants, and the Brazilian firm will supply Pactiv with
paperboard.
  
        The firms expect to close the deal this year.
  
        The agreement comes about two weeks after Suzano 
    terminated talks
     to potentially acquire International Paper.
  

 (Reporting by Andre Romani; Editing by David Alire Garcia)
 ((Andre.Romani@thomsonreuters.com; 11 991314109;11 56447500;))