- WestRock ( NYSE: WRK ) said Wednesday it will sell its stake in RTS Packaging to joint venture partner Sonoco Products ( SON ) for $330M.
- The firm's mill in Chattanooga, Tennessee - which supplies RTS with uncoated recycled paperboard (URB) - is included in the RTS Packaging deal.
- WestRock ( WRK ) will also sell its URB mills in Eaton, Indiana, and Aurora, Illinois to Ox Industries for $50M.
- The Eaton and Aurora mills produce URB, which is not a priority product for WestRock ( WRK ).
- When the deals close, WestRock ( WRK ) employees will transition to employment with Sonoco ( SON ) or Ox, as applicable.
- The deal with Sonoco ( SON ) is expected to close in H1 2023 while the deal with Ox is expected to close in late 2022 or early 2023.
- Last month, WestRock ( WRK ) said it would close corrugated medium manufacturing operations at its Minnesota recycled paper mill .
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WestRock to sell stake in RTS Packaging to Sonoco Products for $330M