SCA Breaks New Ground with Hygiene Acquisition in Argentina

Tue Oct 27, 2009 3:30am EDT
 
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STOCKHOLM--(Business Wire)--
Regulatory News: 

SCA (NASDAQ:SVCBY)(STO:SCAA)(STO:SCAB) has - through its Colombian joint-venture
company - acquired Algodonera Aconcagua, one of the largest players in feminine
care in Argentina. 

The decision to acquire Algodonera Aconcagua was taken by SCA`s half-owned,
joint-venture company in Colombia, Productos Familia S.A. The purchase price is
approximately SEK 165m on a debt-free basis. 

The operation of the acquired company focuses on feminine care products, an area
in which Algodonera Aconcagua currently holds a market share in Argentina of
about 20%, placing the company in third position in the country. Regarding the
market for feminine care products the three largest companies account for about
80% of sales. 

Algodonera Aconcagua also holds a small market share in baby diapers and
incontinence care, which presents the potential for future expansion in these
segments. 

"This acquisition gives us a strong foothold in what is a new and attractive
market for us with considerable growth potential. The transaction is entirely in
line with our strategy, which is to expand in selected, clearly identifiable
emerging markets," says President and CEO Jan Johansson. 

Note The information provided herein is such that SCA is obligated to disclose
pursuant to the Securities Markets Act. 

SCA is a global hygiene and paper company that develops and produces personal
care products, tissue, packaging solutions, publication papers and solid-wood
products. Sales are conducted in some 90 countries. SCA has many well-known
brands, including the global brands Tena and Tork. Sales in 2008 amounted to SEK
110 billion (EUR 11.5 billion). SCA has approximately 52,000 employees. More
information at www.sca.com

This information was brought to you by Cision http://www.cisionwire.com

SCA
Pär Altan, Vice President Media Relations
+46 (0)8-788 52 37
or
Johan Karlsson, Vice President Investor Relations
+46 (0)8-788 5130 

Copyright Business Wire 2009

 

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