Ontex Completes Acquisition of Personal Hygiene Business of Hypermarcas

Ontex Group, a leading worldwide producer of personal hygiene products, has completed the acquisition of the personal hygiene business of Hypermarcas (hereafter "HM personal hygiene"). The agreement for the acquisition was previously announced on December 23, 2016, and the required conditions have now been fulfilled.

Following the successful integration of Grupo Mabe in 2016, the addition of HM personal hygiene supports the Ontex strategy by extending its growth platform in the Americas to Brazil, increasing revenue from Ontex-owned brands and accessing a fast growing market.

HM personal hygiene is the market leader in the adult incontinence category, and holds a solid No. 3 position in babycare in Brazil, the 4th largest hygiene market in the world.  Pro-forma unaudited revenue for the financial year 2016 amounted to R$1.2 billion in compliance with Brazilian GAAP.  Going forward, more than 50% of Ontex Group revenue will come from outside Western Europe, and more than 50% of Group revenue will come from Ontex-owned brands. These two key milestones confirm that significant progress continues to be made in transforming Ontex into a leading international consumer company.

HM personal hygiene has a portfolio of strong local brands covering all segments of the adult incontinence and babycare categories.

CEO Charles Bouaziz stated: "I am pleased that we have completed this attractive deal, and can now start welcoming our colleagues at HM personal hygiene to Ontex as part of our Americas Retail Division. The business has achieved strong results with customers and consumers in Brazil over the past years, and we look forward to working with them to further develop the brand portfolio and delivering on operational synergies."

The enterprise value agreed for the HM personal hygiene business was R$1 billion (€305 million), which has been paid from available cash, and from available and new debt facilities, after customary adjustments for net debt.

HM personal hygiene will be consolidated into the results of Ontex with effect from March 1, 2017.

Ontex is a leading producer of personal hygiene products, ranging from baby diapers to products for feminine hygiene and adult incontinence. Ontex’s products are distributed in more than 110 countries through Ontex brands as well as leading retailer brands.

The group employs over 8,000 staff and has a presence in 25 countries. Ontex is listed on NYSE Euronext Brussels and is part of the Bel20 and STOXX® Europe 600.