Essity divests partly owned Turkish firm SCA Yildiz
Essity is divesting its 50 per cent stake in the partly owned company SCA Yildiz in Turkey to the other part owner Yildiz. Essity will retain a presence in Turkey through its wholly owned Professional Hygiene, Incontinence Products and Medical Solutions operations. The transaction is expected to be finalised in the second quarter of 2019.
SCA Yildiz is primarily active in baby care products. In 2018, the company reported net sales of SEK 364 million (TRY 197 million). The divestment gives rise to a currency related loss of approximately SEK 150 million, which will be recognised as an item affecting comparability in the second quarter of 2019. This will not impact cash flow or shareholders’ equity, the Swedish company said in a press release.
The transaction is subject to customary regulatory approval by the competition authorities, the release added. (RKS)
Fibre2Fashion News Desk – India