Unisource Worldwide announced it is engaged in talks with International Paper regarding a proposed transaction in which its xpedx distribution business would be combined with Unisource. Unisource and xpedx are complementary business-to-business distributors of printing paper, packaging and facility supplies.
The discussions were initiated after Unisource approached International Paper about the potential business combination, and on April 19, 2013, the parties entered into a non-binding letter of intent to explore a possible transaction. Unisource will continue doing business as usual until a proposed deal is closed. If no transaction is completed, Unisource will remain a private company.
Combining the two businesses would enable an expanded geographic reach to important regions of the world, and further optimize and strengthen the supply chain, resulting in better customer service.
"Unisource and xpedx serve their markets and customers well," says Seth Meisel, a member of the Unisource Board of Directors and a managing director at Bain Capital, the majority owner of the company. "A new company that unites their capabilities can create even more opportunities to deliver value and growth.”