International Paper (IP), Memphis, Tenn., and Atlas Holdings, a Greenwich, Conn.-based holding company, have signed an agreement to combine both companies’ consumer packaging businesses, pending regulatory approval and other customary closing conditions.
The deal includes IP’s Shorewood Packaging and Atlas Holding’s AGI World division. The merged company will be named AGI-Shorewood and will have operations in North America, Europe, Asia, Australia and Latin America.
"For more than a decade, Shorewood Packaging has been an important part of International Paper and has made many contributions to our company, particularly through leadership in innovation and creative services for customers," says Tom Kadien, senior vice president of IP's Consumer Packaging and IP Asia businesses. "By merging Shorewood with AGI, our employees and our customers will have many more options and opportunities in the future, and we will continue to be a strong partner in those efforts."
When the merger is complete, AGI Shorewood will operate 24 manufacturing facilities around the world.
Leading the new company as president and CEO will be Mike Ukropina, who currently serves as president of Shorewood Packaging.
The remainder of the AGI-Shorewood leadership team will include:
- Mark Caines, currently CEO, AGI North America, as CEO, AGI-Shorewood North America;
- Tony Garnish, currently CEO, AGI Europe, as CEO, AGI-Shorewood Europe;
- Lucy Tzou, currently general manager, Shorewood Packaging and IP Foodservice Asia, as CEO, AGI-Shorewood Asia and Global Gravure; and
- Don Eldert, currently CFO, Atlas Material Holding Corp., as executive vice president and CFO, AGI-Shorewood.
Upon closing of the transaction, Atlas will own 100 percent of the combined AGI-Shorewood business in the United States, and IP will own a 40 percent interest in the combined AGI-Shorewood business outside of the United States. The various regional transactions are expected to close before the end of 2011.