EANS-Adhoc: Valora Holding AG Valora achieves further milestone in its "Valora
4 Growth" strategy
--------------------------------------------------------------------------------
ad-hoc disclosure transmitted by euro adhoc with the aim of a Europe-wide
distribution. The issuer is solely responsible for the content of this
announcement.
--------------------------------------------------------------------------------
Valora achieves further milestone in its "Valora 4 Growth" strategy
21.06.2011
Valora achieves further milestone in its "Valora 4 Growth" strategy
- Acquisition of Sweden´s leading cosmetics distributor
- Expansion of Valora Trade Sweden´s existing product portfolio
- New Scandinavian Cosmetics distribution platform paves way for further growth
opportunities
Acquisition of Sweden´s leading cosmetics distributor
With its acquisition of Scandinavian Cosmetics (ScanCo), Valora has secured
ownership of Sweden´s largest independent cosmetics distributor, thus
successfully extending its implementation of the "Valora 4 Growth" strategy
launched in 2010. With 23% of nationwide sales, ScanCo enjoys a leading position
in the Swedish cosmetics market, the largest in Scandinavia. The company, whose
successful operations were recognised through the award of the 2011
"Entrepreneur Company of the Year" prize for Southern Sweden, has so far been
privately owned and has been an established cosmetics distributor for nearly 30
years. Ulf Ljunggren, who has owned the company until now, will take on
executive duties on the company´s board, thus continuing to contribute his
substantial cosmetics know how and expertise. ScanCo´s closely knit, highly
professional management team will ensure that this well-known company continues
to develop and prosper as part of Valora Trade.
In 2010, ScanCo generated net revenues of some CHF 75 million on which it earned
an operating margin in excess of 4%. The purchase price paid by Valora is within
the 6-9 x EBIT target range defined in its growth strategy. Valora will finance
this transaction entirely from cash generated from ongoing operations.
Completion is expected to take effect at the end of July 2011.
Expansion of Valora Trade Sweden´s existing product portfolio
Valora Trade Sweden´s net revenues already amount to some CHF 150 million. The
acquisition of ScanCo will raise the company´s net revenues significantly and to
more than CHF 225 million. Moreover, the acquisition will complement the current
portfolio with a new cosmetics category generating above-average levels of
profitability. This investment opens up additional growth opportunities for
Valora Trade in one of Scandinavia´s key markets, which the company will pursue
through more efficient use of its expanded product portfolio and through
initiatives to develop new markets. So far, specialised cosmetics retail has
been Scandinavia Cosmetics main sales channel. In future, Valora Trade Sweden´s
broad market coverage, particularly in areas such as Grocery Trade, will provide
further opportunities for sustained and profitable growth.
New Scandinavian cosmetics distribution platform paves way for further growth
opportunities
Following Valora´s purchase of EMH in 2010, its acquisition of ScanCo marks a
further significant milestone in the creation of a cross-border Scandinavian
cosmetics platform. This will enable Valora Trade sustainably to develop its
position in this profitable market, and will make it very well placed to expand
further in other Northern European markets. As Thomas Vollmoeller, Valora´s CEO,
puts it, "This second acquisition in cosmetics distribution in less than a year
(EMH and now ScanCo) has strengthened our position in this growing and
profitable product category. It is also entirely congruent with our "Valora 4
Growth" strategy."
*********************************************************************************
Scandinavian Cosmetics (ScanCo)
Founded in 1984, ScanCo is the clear market leader among Sweden´s independent
cosmetics distributors. The company´s 2010 sales amounted to over SEK 560
million (some CHF 75 million). ScanCo´s product range encompasses many exclusive
brands, including Max Factor, Hugo Boss, Lacoste, Gucci, Dolce Gabbana, Escada,
Puma, Kenzo, Bvlgari, Clarins, Kanebo and Olay. The firm currently employs some
100 staff.
*********************************************************************************
Further inquiry note:
Media Relations: Phone: +41 58 789 12 01
Stefania Misteli E-mail: stefania.misteli@valora.com
Investor Relations: Phone: +41 58 789 12 20
Mladen Tomic E-mail: mladen.tomic@valora.com
end of announcement euro adhoc
--------------------------------------------------------------------------------
issuer: Valora Holding AG
Hofackerstrasse 40
CH-4132 Muttenz
phone: +41 61 467 20 20
FAX: +41 58 789 12 12
mail: info@valora.com
WWW: www.valora.com
sector: Retail
ISIN: CH0002088976
indexes:
stockmarkets: stock market: BX Berne eXchange, Main Standard: SIX Swiss Exchange
language: English
ad-hoc disclosure transmitted by euro adhoc with the aim of a Europe-wide distribution. The issuer is solely responsible for the content of this announcement. Valora focuses on the internationalisation of its Retail division and strengthens the organisational structures of its Retail Switzerland ...