EC approves SCA's acquisition of CartoInvest
The European Commission has approved SCA's acquisition of the Italian
tissue producer CartoInvest. SCA will, which has been communicated in a
press release from SCA dated 19 February 2002, pay EUR 301 M for the
shares in CartoInvest, and assume debt of EUR 171 M.
The preliminary acquisition analysis indicates that goodwill, after
provision for restructuring costs, will amount to about EUR 220 M. The
restructuring costs, which are estimated at EUR 25 M, pertain to
nonrecurring expenses for integrating CartoInvest's operations with
SCA's. Measures comprise combining sales organizations, integration of
production and distribution, coordination of administrative functions
and similar actions. SCA will consolidate CartoInvest's operations as of
1 April 2002.
With sales of approximately EUR 440 M, CartoInvest is today the fourth
largest consumer tissue producer in Europe. As a result of the
acquisition, SCA confirms its position as the leading European producer
of tissue. SCA increases its European value share of the retailers'
brands market (private label) from 24 percent to about 32 percent and in
the total consumer tissue market from 20 percent to about 25 percent.
In Italy, SCA attains as a result of the acquisition a number three
position, with a 10 percent market share for consumer tissue. The
combination with the consumer brands SCA already sells in the country -
baby diapers, feminine hygiene products and light incontinence products
- provides SCA with a complete portfolio and a platform for continued
Stockholm, 21 March 2002
SVENSKA CELLULOSA AKTIEBOLAGET SCA (publ)
Communications and Investor Relations
For further information, contact:
Sverker Martin-Löf, President and CEO. Phone +46 8 788 51 51
Peter Nyquist, Vice President, Communications and Investor Relations.
Phone +46 70 575 29 06
This information was brought to you by Waymaker http://www.waymaker.net
The following files are available for download: