Smurfit Kappa Rejects Unsolicited International Paper Co. Bid Proposal

By Ian Walker

Smurfit Kappa Group PLC (SK3.DB) said Tuesday that it has rejected an unsolicited offer proposal from International Paper Co. (IP), saying that it fails to reflect the group's strong growth prospects and attractive industry outlook.

The Irish packaging company said the offer proposal consisted of a mixture of cash and shares, but didn't disclose the exact terms. It added that under the proposal shareholders would get a minority interest in the combined business.

Smurfit Kappa had a market capitalization of 6.79 billion euros ($8.38 billion) at close of business Monday.

The Irish company said that it has considered the proposal and believes it is in the best interests of shareholders and other stakeholders to pursue its future as an independent company.

It added that shareholders should to take no action.

Write to Ian Walker at ian.walker@wsj.com; @IanWalk40289749

(END) Dow Jones Newswires

March 06, 2018 02:44 ET (07:44 GMT)

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