SENS

[BACK TO ARTICLES]

2020-03-18 09:35:00 AM

Iress
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
        Ingram´s strategy of diversifying into less regulated
        product classes in the consumer sector. Further, Plush´s
        product portfolio has no overlap with Adcock Ingram´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 Plush´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.
   Source: JSE News Service (SENS)
[BACK TO ARTICLES]