International Paper (IP) said it agreed to sell its Brazilian Corrugated Packaging Business to Klabin, a Brazilian producer of paper and cardboard packaging, corrugated cardboard boxes, industrial sacks and timber, with 17 industrial plants in Brazil and one in Argentina. The operation is worth 330 million dollars, with 280 million dollars to be paid at closing and 50 million dollars one year thereafter. The business includes three containerboard mills and four box plants.
The transaction is expected to close in the second half of 2020, without prejudice to certain closure conditions and legal approvals. The company will continue to run its Papers and Forestry businesses in Brazil.