Vinda is expected to invest approximately EUR 108 million to acquire SCA’s tissue and personal care brands in China. The Chinese tissue company has signed a cooperation agreement with SCA, a Swedish hygiene and forest products company.
According to the agreement, Vinda will market and sell SCA brands including TENA, Tork, Tempo, Libero and Libresse in China especially Mainland China, Hong Kong and Macau.
Jan Johansson, President and CEO, SCA, said: “With its immense number of inhabitants, ageing population and low penetration of hygiene products, China is an attractive and important market with significant potential for future growth. This new cooperation and transaction will generate mutual benefits for both SCA and Vinda particularly in distribution, sales, innovation and R&D.”
Johansson added: “Vinda will get access to a broader product portfolio and SCA’s brands will have the potential to reach a broader base of consumers and customers via the extensive and robust distribution network of Vinda in China.”
The agreement is subject to approval by the independent shareholders of Vinda.
Donna Zhang, CEO, Vinda, said: “Leveraging the strengths of both Vinda and SCA, we are confident that the new business integration would enable Vinda Group to gain larger market shares for the hygiene product segments, and thus generate greater revenue and profits for Vinda, SCA and the shareholders in return.”
