SCA to Acquire Latin America Diaper Business from Copamex
July 21, 2010 - SCA said that it has agreed to buy Copamex's baby diaper business in Mexico and Central America for approximately USD 50 million, on a debt-free basis.
Copamex produces well-known baby diaper brands Dry Kids for the Mexican market and Tessy Babies for consumers in Central America.
Copamex holds a number three position in baby diapers in Mexico, and the business unit had sales of about USD 60 million in 2009.
“The acquisition will strengthen SCA's presence in Latin America, and creates a base for expansion of baby diapers in Mexico and Central America,” said CEO and president Jan Johansson.
The deal will add to SCA's current portfolio of hygiene products in Latin America which now includes feminine care, incontinence care, consumer tissue, away from home tissue products and baby diapers.
SCA expects the transaction to be completed during the third quarter of 2010.