|09:58 EDT||KS, BZ, IP, RKT, DFS, PKG||Packaging makers climb following Boise acquisition|
Shares of a number of packaging companies are rising after one of the companies in the sector, Boise (BZ), agreed to sell itself to Packaging Corporation of America (PKG). WHAT'S NEW: Packaging Corporation of America agreed to acquire Boise for $12.55 per share in cash, the companies announced earlier this morning. Boise's stock closed at $9.96 on Friday. The companies stated that the deal would increase Packaging Corporation of America's containerboard capacity by 42%. TODAY'S PRICE ACTION: In early trading, Boise jumped 26.5% to $12.60, while Packaging Corporation of America rose 5.4% to $57.60. Other packaging makers also rallied, with Rock-Tenn (RKT) advancing 4.6% to $124, KapStone Paper (KS) gaining 5% to $47.45, Domtar (DFS) gaining 3.3% to $78.60 and International Paper (IP) rising 1.4% to $49.30.