HACO INDUSTRIES KENYA LTD TRANSFERS ITS STATIONERY
MANUFACTURING AND DISTRIBUTION TO BIC
Clichy (France) -
Nairobi (Kenya), 31 August 2018.
Haco Industries Kenya Ltd and
SOCIETE BIC have today formally announced their agreement for the
transfer of manufacturing facilities and distribution of BIC
products to BIC.
The definitive agreement will
result in the transfer of the manufacturing facilities in Kenya and
the distribution of Stationery, Lighters, and Shavers in East
Africa from HACO Industries to BIC. Subject to the Kenyan
Competition Authority approval, the transfer is expected to be
completed by 1st January
2019.
This transaction is in line with
BIC's continued growth strategy in Africa, and the long-term growth
plans of HACO Industries, which aims to diversify its portfolio and
presence in Western & Southern Africa.
HACO Industries
Ltd Chairman Dr. Chris Kirubi described the transfer as a
positive move for both the company and Kenya, as manufacturing
remains in the country and HACO gets the opportunity to diversify
and expand its business.
"My success is
Kenya's success and after nearly forty years of fruitful
collaboration with BIC, and having built the business to become
Kenya's number one Stationery manufacturer and distributor, this
transaction is tangible proof of BIC's confidence and belief in
Kenya and the growth potential of the region," said Dr.
Kirubi.
"Until the
completion of the transfer, BIC and HACO will continue to work
together for the mutual benefit of all stakeholders and the
respective businesses to achieve a smooth transition" he
added.
The partnership between HACO
Industries Kenya Ltd and BIC spans nearly 40 years when Dr. Kirubi
invested in the future of the Stationery business in East Africa
putting education at the forefront of all markets.
Commenting on the
move, SOCIETE BIC Chief Executive Officer, Gonzalve Bich noted:
"This is a tremendous opportunity to strengthen
BIC's position in one of the most promising markets for BIC
products in the world. BIC has a strong historical presence in
Africa; with a solid industrial and distribution footprint, this
continent is a key asset for BIC's development. Building on our
strong brand awareness in the region, thanks to Dr. Chris Kirubi' s
& HACO Industries stewardship over the last 40 years, I am
confident that this agreement will reinforce BIC's long-term growth
prospects in the region and generate value for all our stakeholders
as we fully integrate the business into the BIC Group".
He added: "We
estimate the regional Stationery market to be around 1.5 billion
units annually and growing mid to high single digit. With a strong
focus on education, Kenya will be a driving force in the deployment
of BIC's "Writing the Future, Together" sustainable development
program, which commits to improving the learning conditions of 250
million children globally, by 2025."
HACO Industries upscaled
production facilities from a small assembly plant based in Mombasa
to the current semi-automated production plant located in Kasarani;
with a market presence in the entire East African region including
Uganda, Rwanda, Burundi, Ethiopia, and Tanzania.
The partnership between HACO
Industries and BIC has also enabled collaboration and engagement
with various governments in the region to fight counterfeit
products, allowing BIC to retain and strengthen its leadership
position in East Africa.
About BIC
BIC is a world leader in Stationery, Lighters and Shavers. For more
than 70 years, BIC has honored the tradition of providing
high-quality, affordable products to consumers everywhere. Through
this unwavering dedication and thanks to everyday efforts and
investments, BIC has become one of the most recognized brands and
is a trademark registered worldwide for identifying BIC products
which are sold in more than 160 countries around the world. In
2017, BIC Net Sales were 2,041.4 million euros. The Company is
listed on "Euronext Paris" and is part of the SBF120 and CAC Mid 60
indexes. BIC is also part of the following Socially Responsible
Investment indexes: CDP's "Leadership Level" (A-) and "Leadership
Level" for the additional "Supplier" module, Euronext Vigeo -
Eurozone 120, Euronext Vigeo - Europe 120, FTSE4Good indexes,
Ethibel Pioneer and Ethibel Excellence Investment Registers,
Ethibel Sustainability Index (ESI) Excellence Europe, Stoxx Global
ESG Leaders Index.
Contacts:
Investor Relations
Sophie Palliez-Capian sophie.palliez@bicworld.com
Michèle Ventura
michele.ventura@bicworld.com
Corporate Press
Albane de La Tour d'Artaise
Albane.DeLaTourDArtaise@bicworld.com
Isabelle de Segonzac
isegonzac@image7.fr
About HACO Industries Kenya
Ltd
HACO Industries is one of the region's leading FMCG manufacturers,
supplying a wide range of products to the 21 countries in the
entire East African and COMESA Markets. HACO Industries was
established in the early 1970's as single-product manufacturer.
Over time, HACO Industries has grown from strength to strength and
is now one of the region's leading FMCG manufacturers, supplying a
wide range of products to the entire East African and COMESA
Markets. The portfolio includes Personal Care Products (Amara
Lotion & Petroleum Jelly, Miadi, Palmers), Homecare (So Soft
Fabric Softener & Conditioner, Sparkle Dishwashing Liquid, Ace
Liquid Toilet Cleaner) & Foods Products (Chummy Pasta -
Spaghetti and Macaroni). HACO's objective is to build legacy brands
that satisfy consumer needs through innovation, high-performance
talent, sustainable growth and wealth creation. HACO Industries
prides itself on its continued investment in market
development.
Contacts:
James Makau
Oxygene MCL
James.Makau@oxygene.co.ke
John Ngirachu
Oxygene MCL
John.Ngirachu@oxygene.co.ke
Donald Kogai
Oxygene MCL
Donald.Kogai@oxygene.co.ke
BIC-HACO Agreement
This
announcement is distributed by Nasdaq Corporate Solutions on behalf
of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the
information contained therein.
Source: BIC via Globenewswire
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