SCA to Acquire 50% Stake in Turkish Hygiene Products Maker Komili
June 29, 2011 (Press Release) - SCA is acquiring 50 percent of the Turkish hygiene products company Komili from Yildiz Holding, which is the largest food group in Turkey. The purchase consideration corresponds to SEK 308m on a debt-free basis.
Komili is currently the fourth largest producer of baby diapers and feminine care products in Turkey, and the company also has operations in associated product areas such as wet wipes, soaps and shampoos. Komili will operate as a joint venture between SCA and Yildiz Holding.
The acquisition includes local production and access to a strong distribution network in the country. Komiliís annual sales are approximately SEK 530m.
"The acquisition will enable us to establish powerful hygiene products operations in Turkey in the fields of baby diapers and feminine care products. The business will also provide us with a platform for our incontinence care products in a key growth market with 70 million inhabitants and a fast-growing population," says Jan Johansson, President and CEO of SCA.
The transaction is expected to be finalised during the third quarter of the current year, following approval from the authorities concerned.