SENS[BACK TO ARTICLES]
2020-03-18 09:35:00 AM
|AIP: ADCOCK INGRAM HOLDINGS LIMITED - Voluntary announcement - acquisition of Plush Professional Leather Care Proprietary Limited|
AIP: ADCOCK INGRAM HOLDINGS LIMITED - Voluntary announcement - acquisition of Plush Professional Leather Care Proprietary Limited Voluntary announcement - acquisition of Plush Professional Leather Care Proprietary Limited Adcock Ingram Holdings Limited Incorporated in the Republic of South Africa (Registration number 2007/016236/06) Share code: AIP ISIN: ZAE000123436 ("Adcock Ingram" or "the company") VOLUNTARY ANNOUNCEMENT - ACQUISITION OF PLUSH PROFESSIONAL LEATHER CARE PROPRIETARY LIMITED Adcock Ingram is pleased to announce that it has concluded a Share Purchase Agreement to acquire 100% of the shares of Plush Professional Leather Care Proprietary Limited ('Plush' or the 'Business') for a confidential purchase price, payable in cash, (the 'Plush Acquisition'). Plush is a well-established company offering an extensive range of homecare, cleaning and leather care products. Plush products are sold through most major retailers in South Africa and selected Southern African countries. Historically the Business generates revenue in excess of R200 million per annum. The Board of directors of Adcock Ingram considers the Plush Acquisition an attractive investment opportunity to enter the homecare category. Rationale for the Plush Acquisition: - The Plush Acquisition is firmly in line with Adcock IngramÂ´s strategy of diversifying into less regulated product classes in the consumer sector. Further, PlushÂ´s product portfolio has no overlap with Adcock IngramÂ´s existing portfolio. It will enable the establishment of a homecare business within Adcock Ingram that already has critical mass, allowing us to compete in this category in the Southern African market. - The Plush brand is well established with strong support and awareness from both retailers and consumers. The brand has excellent potential for further line extensions into adjacent product categories. - The existing senior management team, who are also the exiting shareholders of Plush, have been a crucial component of PlushÂ´s success and continued growth over the last 10 years. As part of the transaction, this team has agreed to remain involved with the company for minimum periods of between 12 and 18 months. This will facilitate an orderly and sustainable transition of the Business into the Adcock Ingram group. The Plush Acquisition is not a categorized transaction in terms of the JSE Limited Listings Requirements. Accordingly, no shareholder approval is required to conclude this transaction and this announcement is published voluntarily. The Plush Acquisition is subject to regulatory and competition authorities approvals and other suspensive conditions typical for a transaction of this nature. A further announcement regarding the implementation of the Plush Acquisition will be made at the appropriate time. 18 March 2020 Midrand Sponsor RAND MERCHANT BANK (A division of FirstRand Bank Limited) Date: 18-03-2020 09:35:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on, information disseminated through SENS.
|2020-03-18 09:35:00 Source: JSE News Service (SENS)|