Stora Enso has entered into an agreement to divest approximately 175,000 hectares of forest land, equivalent to 12.4% of its total forest land holdings in Sweden for an enterprise value of Euro 900 million, equivalent to SEK 9.8 billion.
Soya Group, will hold a 40.6% share in the newly formed company, and a MEAG led consortium will hold 44.4% of the shares. MEAG is the asset manager of Munich Re, a German insurance company. Stora Enso will retain a 15% ownership in the company.
In connection with the transaction, Stora Enso and the divested entity will enter into a 15-year wood supply agreement with a possible additional 15-year extension. This will secure wood availability for Stora Enso’s Swedish business units. The new entity will also benefit from a forest management agreement under which Stora Enso will provide forest-related services. Due to the disposal, the Group’s adjusted EBITDA is expected to decrease by approximately Euro 25 million per year, of which Euro 15 million is cash-related, based on full-year 2024 numbers.
The enterprise value of Euro 900 million is in line with the accounting fair value of the divested forest assets. The proceeds from the divestment are expected to reduce Stora Enso’s net debt by Euro 790 million.
The transaction is subject to clearance by the relevant competition authorities and is expected to be completed during the Q3 2025. Stora Enso announced the divestment plan in October 2024.
Stora Enso is the leading provider of renewable products in packaging, biomaterials, and wooden construction, and one of the largest private forest owners in the world.
