SCA to Form Joint Venture in Middle East
Oct. 2, 2007 - SCA said that will form a joint venture company with Jordan-based industrial group Nuqul to manufacture and sell feminine hygiene products in the Middle East and Egypt.
SCA will invest US $18.5 million and have a 50% stake in the new company.
"This joint venture gives us a unique platform for entering Egypt and the main markets of the Middle East with our successful feminine hygiene products," said Gunnar Johansson, president of SCA Personal Care. "These markets have immense growth potential, and we expect to grow our sales in the region substantially."
Nuqul is a large industrial group in the Middle East, with operations that include tissue and personal hygiene products. The Group's annual sales total approximately US $400 million.
"We aim to complement Nuqul's product range, sold under the Cinderella and Lady Fine brands, with our own product range. Our ambition is to eventually extend our joint venture to other personal care categories in the future," Johansson added.