International Paper, Memphis, Tenn., USA, this week announced that it has entered into a definitive agreement to sell its corrugated packaging business in China and Southeast Asia to Xiamen Bridge Hexing Equity Investment Partnership Enterprise. International Paper's corrugated packaging business in Asia has 18 plants and a workforce of approximately 3,000 employees.

Under terms of the transaction, International Paper will receive a total of approximately RMB 1 billion (approximately $150 million at current exchange rate), subject to post-closing adjustments and other payments, including the buyer's assumption of the liability for loans of approximately $50 million to be paid to International Paper within six months of closing of the sale.

The transaction is expected to be completed in the next few months, subject to satisfaction of closing conditions, including obtaining required governmental approvals. 

International Paper has manufacturing operations in North America, Europe, Latin America, Russia, Asia, and North Africa. Its businesses include industrial and consumer packaging along with uncoated papers and pulp. The company employs approximately 55,000 people and is strategically located in more than 24 countries serving customers worldwide. The company’s net sales for 2015 were $22 billion.