Email AlertsThe move will enhance product mix and multi-brand strategy for
larger market shares
(12 September 2014 – Hong Kong) Vinda International Holdings Limited (“Vinda International” or the “Company”, which together with its subsidiaries is referred to as the “Group”; stock code: 3331), a leading manufacturer and branded seller of household paper products in China, is pleased to announce that the proposed acquisition of the hygiene business of Svenska Cellulosa Aktiebolaget (“SCA”), a leading global company of hygiene and forest products, in Mainland China, Hong Kong and Macau has been approved by the Group’s independent shareholders.
Vinda Group has entered a new phase in its business integration as it is evolving into a leading, full-fledged and multi-brand company. The acquisition of SCA’s business in Mainland China will provide an impetus to the development of the Group’s business of hygiene products, including those for household care, baby care, feminine care and elderly care. The Group will be able to gain larger shares of China’s hygiene market by managing brands that cater for various market segments.
Mr. Li Chao Wang, Chairman of the Group said, “We are pleased to have full support from our shareholders, which will enable us to forge ahead with our multi-brand business strategy and to enter a new phase of the Group’s development. We are glad to have been cooperating successfully with our long-term strategic partner SCA. It is expected that the Group will be able to further enhance its product mix and achieve more synergies with SCA. We are aiming for larger market shares with the multi-brand strategy. Under the strategy, we are combining SCA's strong brand equity and Vinda’s well-developed sales team, distribution network and other facilities. Such move will generate greater revenue and profits for Vinda, SCA and the shareholders.”
The transaction is expected to close on 1st October 2014.