Form 4: Smurfit WestRock Director Acquires Shares in Merger Transaction

Director Jorgen Buhl Rasmussen reports acquisition of Smurfit WestRock shares following the merger with Smurfit Kappa.

Summary

• On July 5, 2024, Smurfit Kappa was acquired by Smurfit WestRock pursuant to a scheme of arrangement.
• Jorgen Buhl Rasmussen, a director of Smurfit WestRock, acquired 6,146 ordinary shares of Smurfit WestRock as a result of the merger.
• Each ordinary share of Smurfit Kappa held by Rasmussen was exchanged for one ordinary share of Smurfit WestRock at the effective time of the scheme.

Sentiment

Score: 7

Explanation: The sentiment is neutral to positive as it reflects the completion of a previously announced merger, which is generally viewed favorably. There are no immediate negative implications.

Positives

• The merger between Smurfit Kappa and Smurfit WestRock has been completed.

Industry Context

This merger reflects a trend of consolidation in the paper and packaging industry, aiming to create larger, more efficient entities with greater market reach.

Comparison to Industry Standards

• Mergers of this scale are comparable to other major consolidations in the packaging industry, such as the merger of International Paper and Temple-Inland, which aimed to create synergies and expand market share.
• The exchange of shares in a scheme of arrangement is a common practice in cross-border mergers, similar to how other European companies have restructured their ownership.
• The resulting entity, Smurfit WestRock, will likely be benchmarked against industry leaders like Packaging Corporation of America and WestRock in terms of revenue, profitability, and market capitalization.

Stakeholder Impact

• Shareholders of Smurfit Kappa have received shares in the newly formed Smurfit WestRock.
• The merger is expected to create synergies that could benefit employees and customers in the long term.

Key Dates