- International Paper (NYSE:IP) popped higher during today's trade on rumors it could be a possible takeover target, with BMO Capital analysts highlighting privately-held Koch Industries as a potential buyer since it has been "actively consolidating the forest products sector for more than a decade."
- BMO also speculates on an IP pairing with Georgia-Pacific, saying the combination would pose regulatory challenges and likely require divestitures, particularly in the container board and fluff pulp sectors.
- IP-GP would sport a combined pro forma market share of ~45% in container board and 65%-70% in fluff pulp, including IP’s pending acquisition of Weyerhaeuser’s (NYSE:WY) fluff pulp assets.