Cleary Gottlieb is representing long-standing client Ontex Group NV (Ontex) in the sale of its Mexican business activities and related exports to regional markets to Softys S.A. (Softys).
The transaction values Ontex’s Mexican business at an enterprise value of MX$5.95 billion (or approximately €285 million at the current exchange rate). This includes a deferred payment of MX$500 million, spread over a maximum of five years.
The transaction signed on July 28, 2022, and closing, which is subject to customary conditions including antitrust approvals, is expected to occur in early 2023.
Ontex, headquartered in Aalst, Belgium, and listed on Euronext Brussels, is a leading international provider of personal hygiene solutions, with expertise in baby care, feminine care, and adult care. Ontex employs around 9,000 people across the globe, with a presence in 21 countries, and its products are distributed in more than 110 countries. The transaction is an important milestone in Ontex’s new strategy announced in December 2021 to focus on its partner brands and health care business, and accordingly to explore strategic alternatives for its branded business in emerging markets.
Softys is a personal hygiene company with operations across Latin America. It is a wholly owned subsidiary of Empresas CMPC SA, a global leader in the pulp and paper business, which is headquartered in Chile and listed on the Chilean stock exchange.
For more information, please see the press release here.