Stora Enso initiates strategic evaluation of its Swedish forest assets

According to the announcement made by Stora Enso, the evaluation intends to improve company focus, streamline processes, and realise the value of the forest assets as well as the company’s primary packaging business.

As part of the review, Stora Enso will consider a variety of possibilities, including the potential separation and public listing of the forest business through a partial demerger into a new company held by all company shareholders. The company attempts to create two separate businesses while focusing on renewable packaging, market positioning, and flexible and cost-effective production.

Following the recent agreement to sell approximately 175,000-hectares of Swedish forestland for an enterprise value of USD 900-million, in line with book value, Stora Enso will retain ownership of more than 1.2 million hectares (1.0 million hectares of productive forestland) in Sweden, with a fair value of approximately EUR 5.8 billion as of 31 March, 2025.

Hans Sohlstrom, president and CEO of Stora Enso, stated, “Our Swedish forest assets exemplify excellence in sustainable forestry operations and environmental stewardship.” Sohlstrom added, “Initiating this strategic review underscores our commitment to maximising shareholder value while ensuring alignment with our long-term strategic objectives. By evaluating various strategic options, we aim to enhance business focus, reduce complexity, and unlock the full potential of both our forest and industrial assets.”

The company intends to submit an update on its strategic review by the end of 2025.

Since 2020, Stora Enso's Swedish forests have no longer accounted for at their historical cost, but according to a market valuation, based on actual transactions.