IP International Paper Co.

$IP Hate to take that potential 1 billion hit on a possible spinoff sale, but I think the geographic market focus will pay off in the end.

$IP International Paper confirmed today it is in early talks with potential bidders for its EMEA packaging business after unsolicited approaches, running a possible sale alongside the planned spinoff. FT reported Lone Star and Atlas Holdings are exploring bids valuing the unit at less than 6 billion dollars. That business is largely DS Smith, which IP bought for 7.2 billion dollars. Stock was the top performer in the S&P 500 Thursday, up about 7 percent. Truist argued a sale would give IP cash to delever and fund its North America upgrades, and the standalone business could re-rate.

$IP IP is jumping, near 34.34, up about 7.65 percent, on reports that private equity firms Lone Star and Atlas Holdings are preparing separate offers for its European packaging business. For context, International Paper said in January that it planned to separate that business, built around the DS Smith deal it completed in 2025, into its own public company. The stock fell hard on that news, so a sale would be a different path. I couldn't find the underlying report, so I'd treat the details as unconfirmed until IP or the bidders say something. Preparing offers also isn't the same as making one, and nothing I've seen says IP would accept. If a buyer does step up, the value of the European unit versus the spinoff plan becomes the key question. Follow me for more on this one.