Smurfit Kappa and WestRock Announce Transaction to Create a Global Leader in Sustainable Packaging

Following the announcement of a possible combination dated 7 September 2023, the Boards of Smurfit Kappa, a FTSE 100 company, and WestRock, an S&P 500 company, are pleased to announce the signing of a definitive transaction agreement to create Smurfit WestRock, a global leader in sustainable packaging.

The “Go-To” Packaging Partner of Choice for All Stakeholders

Highlights

• Smurfit Kappa and WestRock to combine, creating Smurfit WestRock, a global leader in sustainable packaging with unparalleled scale, quality, product and geographic diversity
• Combined last twelve months’ adjusted revenue and adjusted EBITDA as of 30 June 2023 of approximately $34 billion and $5.5 billion, respectively
• Delivers attractive returns for shareholders of both companies
• Expected to be high single digit accretive to Smurfit Kappa’s earnings per share on a pre-synergy basis and in excess of 20% including run-rate synergies by the end of first full year following completion
• Domiciled in Ireland with listing on the NYSE and standard listing on the LSE, with intention to seek U.S. equity index inclusion as soon as possible
• Disciplined and effective capital allocation expected to deliver improved operating efficiency and increased returns; committed to strong investment grade credit rating
• Smurfit WestRock will be led by Tony Smurfit as CEO and Irial Finan as Chair
• Unanimously recommended by the Boards of Directors of both companies
• Companies to host a joint conference call today at 13:00 BST / 08:00 ET to discuss transaction

Read the whole announcement here.