International Paper

International Paper (IP), a leading global producer of renewable fiber-based packaging and pulp products, announced a $7.2 billion acquisition of UK-based DS Smith in April 2024, to create a global leader in sustainable packaging. Completing the deal required careful navigation of cross-border regulations, differing shareholder expectations in the U.S. and UK, and the added complexity of DS Smith’s recent merger discussions with another European company. The timing, coinciding with a planned CEO transition at IP, further underscored the need to demonstrate unified leadership behind the strategy and secure stakeholder confidence. Shortly after the announcement, media reports speculated about potential acquisition interest in IP from another global industry player, creating additional distraction. This heightened the need to refocus stakeholders on the strategic rationale for the DS Smith transaction ahead of close.

FGS mobilized a cross-border team to develop and execute a communications strategy that emphasized the transaction’s alignment with global sustainability trends and its potential to deliver operational synergies. Tailored messaging targeted shareholders, employees, regulators, and media, ensuring consistent understanding of the deal’s strategic value. FGS worked closely with the client and advisors to ensure both the outgoing and incoming CEOs had clear and consistent messaging across all communications. Although the incoming CEO had not yet assumed his role at the time of announcement, both leaders were prominently quoted in the transaction press release and participated in the investor conference call to articulate the transaction’s benefits, reinforcing continuity of leadership and strategy. When reports of unsolicited interest surfaced, FGS collaborated with government relations and public affairs colleagues to address concerns about these offers and its impact on IP’s stakeholders. This effort helped refocus attention on the DS Smith transaction and reinforced confidence in its value creation potential on the pathway to close.

FGS’s strategic guidance ensured IP maintained control of the narrative and momentum around the DS Smith transaction. Media coverage highlighted the deal’s potential to create a global leader in sustainable packaging, and shareholders remained supportive. Both incoming and outgoing CEOs effectively conveyed a unified vision for the combination, with their joint participation in the press release and conference call underscoring alignment and leadership continuity. Despite cross-border complexities and external distractions, the combination was successfully completed in January 2025.

FGS’s ability to manage cross-border transactions, leadership transitions, and unsolicited offers enabled International Paper to successfully complete its transformative $7.2bn acquisition of DS Smith, positioning the company as a global leader in sustainable packaging.