The DOJ has entered into a consent decree with International Paper and corrugated packaging manufacturing Temple-Inland that allows the post-acquisition combination to proceed.
Under the terms of the agreement, the combined company will undertake post-close divesture of 970,000 tonnes of containerboard mill capacity within four months.
It also agreed to divest International Paper’s Hueneme, California plant and Temple-Inland’s facilities in Ontario, California and Tennessee
“We are pleased to have reached an agreement with the DOJ that addresses their concern and preserves the value in the combination of these two fine companies,” said International Paper chairman and CEO John Faraci.
“As we take the final steps to closing, we look forward to a smooth integration and to realising the substantial benefits this transaction provides our customers, employees and shareholders.”