Vinda Group will acquire SCA’s commercial operations in Mainland China, Hong Kong and Macau for a cash consideration of approximately HK$1.14 billion.
In additional, upon completion of the sale and purchase agreement, Vinda Group will obtain the perpetual and exclusive right to use SCA brand Tempo, in Mainland China, Hong Kong and Macau on a royalty-free basis. Vinda Group will also acquire the trademarks of Dr. P and Sealer in Mainland China, Hong Kong and Macau, and obtain the exclusive rights to use the SCA global brands Tork, TENA, Libresse and Libero in Mainland China, Hong Kong and Macau. Vinda Group will lead and responsible for the business initiatives for such brands in Mainland China, Hong Kong and Macau, while SCA will continue to provide innovation and technical support for the business.
Upon the completion of the proposed transaction, Vinda Group will become a leading, full-fledged and multi-brand company offering quality hygiene products operating a series of renowned hygiene brands under four business segments, namely household care, baby care, feminine care and elderly care. It is expected that the Group will be able to gain larger market shares by managing brands with different positioning and market segmentation strategies.