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International Paper wraps up its exit from Russia
International Paper (IP) has agreed to sell its half share in Ilim SA, the holding company for its Russian Ilim joint venture, to its partners for US$484 million.
The deal indicates that Ilim, with headquarters in St Petersburg, has an enterprise value of $3.5 billion.
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Memphis, Tennessee-based IP first considered pulling out of the business on 11 March 2022 following Russia’s attacks on Ukraine. About a week earlier at IP’s investor conference, chief executive Mark Sutton alluded to the possibility of exiting from Russia.
The joint-venture partnership was created in 2007 with an investment of $650m from IP.
Ilim is Russia’s largest forest products company, operating three large pulp and paper mills with capacity for 3.6 million tons a year, and two corrugated box plants. IP’s partner was Russian oligarch Zakhar Smushkin. Chief executive was Ksenia Sosnina.
The Ilim mills are located at Koryazhma in the Arkhangelsk attendees from throughout the industry along with numerous Members of Parliament.
The awards, which were launched last December, comprise the same six categories as last year, covering recycling, ‘net zero’, sustainable innovation, skills, community engagement and health and safety.
The Paper Gold Medal will also be awarded at the ceremony, recognising an outstanding, lifelong contribution to this industry.
The deadline for entries this year is Friday 10 February. More information from Holly Whitbread at hwhitbread@paper.org.uk or by phone at 01793 889612.
Oblast, Bratsk and Ust-Ilimsk in the Irkutsk Oblast, Kommunar in the Leningrad Oblast, and Dmitrov in the Moscow Oblast.
Most recent investment in the JV was in 2019 with what was expected to be the world’s largest and fastest kraftliner machine installed at the UstIlimsk mill. The Voith-installed line would have capacity for 600,000 tons of kraftliner a year, and included two BlueLine refining lines, one XcelLine system, drive components and a training package.
IP operates mills in North America, Latin America, North Africa and Europe with sales in 2021 of $19.4 billion.
