Georgia-Pacific delays separation transactions, remains committed to separation strategy
In May, the company’s board authorized G-P management to proceed with separating the company’s consumer products and packaging business, and its building products and distribution business into two publicly traded companies, subject to suitable business and capital market conditions. Based on a thorough evaluation of current debt and equity markets, and the current environment in the building products segment, the company and its advisors have decided to delay the planned separation.
The company also indicated that negotiations on its previously announced sale of its Unisource subsidiary to Bain Capital are proceeding on schedule. G-P expects to close the transaction in the fourth quarter.