A top Turkish industrial group, Eczacıbaşı Holding, having operations in pharmaceuticals and personal hygiene consumer products sectors, said on Monday it agreed on the sale of its Sanipak unit to Malaysia-based Arch Peninsula Sdn Bhd in a deal valuing the firm at $600 million.
In a statement shared to the Public Disclosure Platform (KAP), Eczacıbaşı said that the share purchase agreement was signed on March 20.
"Pursuant to the terms set forth in the agreement, based on a total enterprise value of Sanipak determined as $600 million, the consideration to be paid to Eczacıbaşı Holding at closing shall be determined by applying adjustments for financial debt, cash and working capital based on the financials as of the closing date, and will be subject to post-closing adjustments," the company said.
Sanipak is a maker of popular tissue and cleaning papers in Türkiye under the brands Selpak and Solo, respectively.
The transfer, which will be completed after approval from regulatory bodies in the relevant countries, including the Competition Authority, "will create a significant resource for Eczacıbaşı's dynamic portfolio management and sustainable growth objectives, while strengthening the global market presence of Sanipak's brands," Eczacıbaşı separately said on its website.
"In the personal hygiene products sector, where we started operating in 1969 under the name Ipek Kağıt, we created Türkiye's most beloved and pioneering brands. We transformed our country's hygiene and personal cleaning habits. Today, we believe that Sanipak is stepping into a new era with a strong international player that can best utilize its global growth potential. This step will enable Sanipak brands, which originated in Türkiye, to expand even more strongly into world markets and reach millions of new households," said Eczacıbaşı Group CEO Burak Sevilengül.
Founded in 1969 by the Eczacıbaşı Group to be the first company in Türkiye to produce branded tissue paper, Sanipak operates three production facilities in Türkiye and two in Morocco, exporting to over 60 countries and employing more than 2,000 people, according to the company.
Arch Peninsula Sdn Bhd is a global tissue paper and hygiene products investment platform focused on building market-leading consumer brands in geographies with high growth potential. Its portfolio includes established tissue paper and personal care companies serving consumers in Asia-Pacific, the Middle East, Europe and North Africa.
