International Paper sinks after Brazil's Suzano walks away from bid
Written by Emily J. Thompson, Senior Investment Analyst
- International Paper Stock Plunge: International Paper's stock dropped 14% in after-hours trading following Suzano's withdrawal of its takeover pursuit.
- Suzano's Offer Rejection: Suzano, a Brazilian company, failed to engage International Paper seriously and did not increase its $15 billion offer, leading to the withdrawal.
- Rejected Acquisition Bid: International Paper rejected Suzano's $42 per share offer and refused to drop its own $9.9 billion deal to acquire DS Smith.
- Deal Status: The waiting period under the Hart-Scott-Rodino Act for the International Paper and DS Smith deal has expired, awaiting European Commission approval and court sanctioning.
- Market Impact: Almost 80% of S&P 500's basic materials stocks hit a 52-week high in 2024, indicating broader market trends in the sector.
Analyst Views on SUZ
About SUZ
Suzano SA, formerly Suzano Papel e Celulose SA is a Brazil-based forestry company. It is a developer of products made from eucalyptus forests and a vertically integrated producer of eucalyptus pulp and paper in Latin America. Its purpose is to manufacture, trade, import and export pulp, paper and other products. The Company’s product portfolio includes coated and uncoated printing and writing paper, paperboard, tissue paper, market pulp and fluff pulp. Suzano’s operations are divided into two segments: Pulp and Paper. The Pulp segment includes the production and commercialization of eucalyptus pulp for the foreign market, with the surplus destined for the domestic market, while the Paper segment covers the activities of production and sale of uncoated and coated paperboard and tissue. The Company has numerous subsidiaries, including Fibria Terminal de Celulose de Santos Spe SA, FuturaGene Biotechnology Shanghai Co Ltd and Suzano Pulp and Paper Europe SA.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
