Sequana to sell Arjowiggins Healthcare
Sequana will part with its specialty business Arjowiggins Healthcare. The segment to be sold is specialised in the production of packaging solutions for medical devices.
Sequana announced the sale of its Arjowiggins Healthcare division to French investment company Meeschaert Private Equity. The French group reported it was in exclusive negotiations with the buyer and that the transaction was scheduled to be concluded by the end of the second quarter.
Arjowiggins Healthcare, headed by Thibaut Hyvernat, produces sterilisation packaging solutions for medical devices. On this market, the company reportedly has leading positions via its Sterimed and Sterisheet brands. Arjowiggins Healthcare is an integrated firm, producing and converting the papers and substrates used to package sterile medical devices such as syringes, healthcare kits, gowns, drapes, gauzes and catheters.
Arjowiggins Healthcare employs 330 people at four production sites located in France, the US, the Czech Republic, and China. The company also has several sales offices and delivers customers in over 70 countries. In 2015, it reported annual sales of around €77m.
Meeschaert is taking over a good working business. In its last financial report, Sequana pointed out that the specialty businesses, and the Healthcare division in particular, were performing well and recording growth. However, the company parts with this segment, explaining that the division has "limited synergies with the group's other production activities". In addition, the proceeds from the planned sale would help strengthen Arjowiggins' financing capacity, Sequana added. The group booked a net loss of €67m last year.
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