Smith (DS) Share Chat (SMDS)

yes you are correct about the compensation part of the offer . what we haven’t been told is how we can sell our new ip shares . will e*****i sell them for us ? are they still seeking a 2nd listing on the lse ? what taxes are applicable if we have to sell them ourselves on the nye ?

lots of questions unanswered & not much time to make our decisions. poor show

Sorry but think you are incorrect,

"the savings you have made to the date of exercise will be used to acquire shares at the option price on the court sanction"

The option price being 235p for the current scheme.

"The Ds Smith shares bought with your savings will automatically be purchased by international paper Bibco under combination. You will receive 0.1285 new international paper shares"

The 4.15 you quoted was the value given against the company so they could work out the exchange ( 0.1285 )

They are then giving us cash compensation for the profit would have made on the remainder of the scheme plus the added income tax.

All sharesave employees have received offer letters citing the schemes - both old & new - will be closed within 6 months . The offer consists of payoff @ 0.1285 IP share for every Smiths share . No negotiation - take it or just get your money back that you have invested. This equates to only £4.15 per share & reflects the offer price stated back in April- not the current sp price

We have been royally shafted !

Could some kind soul help me please as I’m recovering from illness. I hold my DSSmith shares in certificates- do I need to send these back? ALSO , the Scheme Document says the new IPS shares won’t be in certificated form but registered via something called “DRS”. How does that work please. 🙏 in anticipation.

Https://uk.finance.yahoo.com/news/international-paper-company-ip-best-202514279.html

International Paper Company (NYSE:IP)

Number of Hedge Fund Holders: 37

International Paper Company (NYSE:IP) produces and sells renewable fiber-based packaging and pulp products across North America, Latin America, Europe, and North Africa. It operates through two segments: Industrial Packaging and Global Cellulose Fibers. In the latest earnings report announced on July 24, International Paper Company (NYSE:IP) reported a normalized EPS of $0.55, exceeding expectations by $0.13, while the GAAP EPS was $1.41, surpassing forecasts by $1.00. Revenue reached $4.73 billion but missed projections by $31.67 million. The company’s forward dividend yield is 3.94%, with an annual payout of $1.85. The last announced dividend is $0.46, with an ex-dividend date of August 15, 2024, and a payout date of September 16, 2024. The forward P/E ratio is 29.18, indicating a higher valuation relative to earnings.

In the first quarter of 2024, the number of hedge funds with positions in International Paper Company (NYSE:IP) rose to 37 from 31, according to Insider Monkey’s database, which tracks 920 hedge funds. The combined value of these holdings is approximately $756.33 million. During this period, Edgar Wachenheim’s Greenhaven Associates became the largest shareholder among these hedge funds.

Overall IP ranks 2nd on our list of the best lumber stocks to buy.

Yes - all employee share schemes in current circulation will be honoured .

Record date for the dividend (£0.12 per share) I'd 6th September. Might as well keep hold of them. There's also the 2025 interim dividend according to the takeover communication.

I was quite lucky with this. In a few months, bought below 300p, sold just over 400p, back in at 355p and now sold at about 415p. My second purchase didn't compound as I reinvested a smaller amount.

Been too many times in a position where I deemed the stock undervalued and held too long while in profit, to then go back into losses. JD sports is a primary example. Bought it long time ago around 145p and held it through the peaks to now end up stuck in a low.

I'm going to wait for at least a few days, but probably a week (obviously, it depends on price movements) and then decide.

I sold at £4 in March

Thought I’d pulled a blinder 🤣

At todays price of~$42, my calcs reckon this equals £4.25ish @ 1.27 approx exchange rate. Hold for closure or sell and bag the current profit at £4.16 today?

Hi uh-oh, thanks for your post…would you be able to enlighten me on what was a great arbitrage opportunity…how would you have done it (assuming it’s legal?! 😂). I started reading about arbitrage opportunities last week but not had time to look at it properly with a real life example and given the movement this morning I susiect you were correct and it is now too late!

Thank you!

Nice rise today. Well done those who held on and didn't sell out too early / too low.

International Paper declined 15% after Brazilian company Suzano said it terminated discussions to acquire the Memphis paper maker. According to reports, Suzano, the world’s largest pulp manufacturer, had offered to buy International Paper IP

for about $15 billion. International Paper, meanwhile, said earlier this week its pending acquisition of U.K. packaging company DS Smith for more than $7 billion cleared a key U.S. regulatory hurdle.

Https://www.londonstockexchange.com/news-article/0JCB/offer-update/16536280

Another step completed

SMDS is a £4.5B business making £650mln operating profits in the low of a cycle. Inflation is coming down and customer spending should recover. The dividend yield is attractive too, especially if we are heading towards lower BoE rates. The merger, if materialize, will bring about fresh opportunities and increased efficiency striking deals with suppliers and customers.

I think they're dreadful figures, explaining well the cyclicality of the paper & packaging industry and why SMDS was happy to sell out, first to Mondi at c.370p, then to Int'l Paper at just over £4.

There is still a great arbitrage opportunity of over 100p between the value of the IP. offer and the SMDS share price. However, today's results suggest the risk of holding SMDS paper has just gone up.

Good set of results. SMDS can justify a sp of 450p without 'acquisition'. With access to the US market from the IP all share combination I can foresee a even higher valuation (above 450p).

My thought is that they are out tomorrow.

What are people's thoughts on final results?

Apparently Suzano is scrambling to get loans and arrange the disposal of part of IP assets to optimize operations and financials. I am not sure what are the odds for Suzano to land the acquisition.

Ironically Suzano may even outbid IP for the acquisition of SMDS (allow me to talk nonsense for once).

I wonder at what point the market will decide that there is an arbitrage opportunity, with IP.'s price tonight of $45.50 equating to a SMDS price of 460p (0.1285 / 1 SDMS) and yet they trade at only 370p.

I appreciate that Suzano's intentions are supporting the IP. price and if it decides not to bid, SMDS's shares will fall. However, I doubt it would be a big fall because the market will assume that Mondi will make a renewed bid (when it is allowed). Surely, however, the current 20% gap between IP.'s price and what the price at which it values SMDS paper is too great, with good upside and limited downside?

I work at the Fordham DSSmith plant & today we had a visit from some IP bigwigs so our deal is very much still on .

EXCLUSIVE – Brazil's Suzano discusses higher bid for International Paper, sources say

If IP pull out, MNDI might just reiterate their offer. Personally, I'd like things to stay as they are for a few more years of dividends