Stora Enso has announced the divestment of approximately 175,000 hectares of forest land in Sweden—representing 12.4% of its total holdings—for an enterprise value of EUR 900 million.
The agreement, revealed on May 21, is expected to strengthen the company’s balance sheet while maintaining access to crucial wood supplies.
The transaction involves the creation of a new company in which Soya Group will hold a 40.6% stake, and a consortium led by MEAG—asset manager for German insurer Munich Re—will hold 44.4%. Stora Enso will retain a 15% interest.
To ensure continued wood access, Stora Enso and the new entity will enter into a 15-year wood supply agreement, with an option to extend for another 15 years. Stora Enso will also provide forest management services under a long-term agreement.
“The deal reinforces our financial stability while preserving our operational flexibility,” said Hans Sohlström, Stora Enso’s President and CEO. “By monetizing a portion of our forest assets and maintaining wood supply agreements, we’re taking strategic steps to reduce debt and unlock value.”
The proceeds are expected to reduce the company’s net debt by EUR 790 million. However, the sale will impact adjusted EBITDA by approximately EUR 25 million annually, EUR 15 million of which is cash-based, based on 2024 figures.
The divestment aligns with Stora Enso’s broader strategy to strengthen its financial position and focus on core renewable product businesses. The transaction, first announced in October 2024, remains subject to regulatory approval and is expected to close in Q3 2025.
Stora Enso is a leading global provider of renewable products in packaging, biomaterials, and wooden construction. With operations in over 30 countries and around 19,000 employees, the company aims to replace fossil-based materials with sustainable alternatives. Learn more at www.storaenso.com.
