(Bloomberg) -- International Paper Co.’s all-stock offer to buy DS Smith Plc has taken a hit in value after the recent selloff in the US-based suitor’s shares, and is now worth less than an earlier proposal by rival bidder Mondi Plc. Most Read from Bloomberg Dubai Grinds to Standstill as Cloud Seeding Worsens Flooding Elon Wants His Money Back Singapore Loses ‘World’s Best Airport’ Crown to Qatar Red Lobster Considers Bankruptcy to Deal With Leases and Labor Costs Tesla Asks Investors to Approve Musk’s $56 Billion Pay Again The offer by International Paper valued DS Smith’s shares at about 361 pence as of 7:35 a.m. Thursday in London, according to Bloomberg’s calculations based on the latest stock price and exchange rate. That compares with the 415 pence cited in the announcement on April 16, which valued the deal at £5.8 billion ($7.2 billion) based on the share price on March 25. Since then, International Paper’s shares have slumped almost 14%. DS Smith’s shares closed at 397.20 pence on Wednesday. Mondi’s bid is valued at 368 pence based on Wednesday’s closing price. It had proposed an all-stock deal at 373 pence per DS Smith share, based on the valuation of its stock on Feb. 7, the day before the expression of interest was disclosed. International Paper’s formal agreement to buy DS Smith has the backing of the UK packaging company’s board, though Mondi could still return with a competing offer. --With assistance from Jamie Nimmo. Most Read from Bloomberg Businessweek Aging Copper Mines Are Turning Into Money Pits Despite Demand For Multinationals, Africa’s Allure Is Fading The AI Chatbot That Could Transform Business School Accreditation What Really Happens When You Trade In an iPhone at the Apple Store Premiums Are Rising, and Insurers Say Lawsuits Are to Blame ©2024 Bloomberg L.P.
DS Smith’s US Bidder Sees Takeover Value Fall Below Mondi Offer
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