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MEMPHIS, TN — Packaging titan International Paper (IP) officially announced on January 29, 2026, that it will split into two independent, publicly traded companies. The move comes as part of a massive strategic overhaul following its recent acquisition of DS Smith.
The separation, expected to finalize within 12 to 15 months, will divide the company’s global footprint into two geographically focused entities:
- International Paper (North America): Retaining its headquarters in Memphis, this company will focus exclusively on North American industrial packaging and absorbent fibers. Andy Silvernail will continue to lead this entity as Chairman and CEO.
- EMEA Packaging: This new standalone company will manage operations across Europe, the Middle East, and Africa. It is slated for a dual listing on the London Stock Exchange and the New York Stock Exchange and will be led by CEO Tim Nicholls.
Strategic Shift Following $2.8B Loss
The decision was announced alongside IP’s full-year 2025 financial results, which showed a $2.84 billion net loss. Management cited the split as the best path to unlock value, allowing each business to tailor investments to their specific regional markets.
The transaction will be structured as a spinoff to current IP shareholders, though International Paper intends to retain a “meaningful ownership stake” in the new EMEA business initially.
Market Impact
The split marks the end of an era for the 128-year-old company as a single global unit. By separating, the company aims to simplify its corporate structure and improve “best-in-class performance” across its distinct markets.
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