SCA closes divestment of businesses to Vinda
April 04, 2016 - China
SCA’s divestment of its business in Taiwan, South Korea and South East Asia, for integration with Vinda International closed on April 1.
According to a SCA press release, SCA is the majority shareholder in Vinda, one of China’s largest hygiene companies.
As part of the transaction, SCA and Vinda have signed an agreement regarding the exclusive license to Vinda, to market and sell SCA brands in South East Asia, Taiwan and South Korea.
“These brands include Tena for incontinence products, Tork for away-from-home tissue, Tempo, a consumer tissue, Libero baby diapers, and Libresse in feminine care,” the press release said.
Vinda will hold the rights to these product brands in these Asian markets and will also acquire the brands; Drypers, Dr.P, Sealer, Prokids, EQ Dry and Control Plus in these markets.
“Asia is an important growth market for SCA with a large population and low penetration of hygiene products,” Magnus Groth, president and CEO of SCA said.
“This transaction strengthens the collaboration between SCA and Vinda and enables us to further leverage on our strengths to build a leading Asian hygiene business,” Groth added.
SCA has been a shareholder in Vinda since 2007, became its majority shareholder in late 2013, and has consolidated Vinda financials since the first quarter of 2014.
In 2014, SCA divested its hygiene business in China, Hong Kong and Macau for integration with Vinda.
SCA’s hygiene business in South East Asia, Taiwan and South Korea had net sales of approximately SEK 2.2 billion in 2014 and the business has around 1,600 employees and three production sites in Malaysia and Taiwan. (AR)
According to a SCA press release, SCA is the majority shareholder in Vinda, one of China’s largest hygiene companies.
As part of the transaction, SCA and Vinda have signed an agreement regarding the exclusive license to Vinda, to market and sell SCA brands in South East Asia, Taiwan and South Korea.
“These brands include Tena for incontinence products, Tork for away-from-home tissue, Tempo, a consumer tissue, Libero baby diapers, and Libresse in feminine care,” the press release said.
Vinda will hold the rights to these product brands in these Asian markets and will also acquire the brands; Drypers, Dr.P, Sealer, Prokids, EQ Dry and Control Plus in these markets.
“Asia is an important growth market for SCA with a large population and low penetration of hygiene products,” Magnus Groth, president and CEO of SCA said.
“This transaction strengthens the collaboration between SCA and Vinda and enables us to further leverage on our strengths to build a leading Asian hygiene business,” Groth added.
SCA has been a shareholder in Vinda since 2007, became its majority shareholder in late 2013, and has consolidated Vinda financials since the first quarter of 2014.
In 2014, SCA divested its hygiene business in China, Hong Kong and Macau for integration with Vinda.
SCA’s hygiene business in South East Asia, Taiwan and South Korea had net sales of approximately SEK 2.2 billion in 2014 and the business has around 1,600 employees and three production sites in Malaysia and Taiwan. (AR)