SSL International plc (SSL) is today publishing its Interim Management Statement relating to the period from 1st April 2010 to date, ahead of its Annual General Meeting tomorrow.
The performance of the business in the year to date has been entirely satisfactory with both Durex and Scholl continuing to perform well. The launch of Scholl footcare into Russia has begun and is proceeding in line with plan.
On 29 April 2010, SSL completed the acquisition of a further 24.7% of Beleggingsmaatschappij Lemore BV (BLBV), the holding company for its Russian operations, for a cash cost of £144.0 million taking its holding in BLBV to 75.3%.
As anticipated, the net debt of £41.1 million as at 31 March 2010 has been impacted during the period by the above transaction, the completion of the acquisition of the Rosetex brand for £3.8 million and the payment of the deferred consideration in relation to the acquisition of the Orthaheel brand for £25.3 million.
On 24 June 2010, SSL exchanged contracts to acquire 100% of its sole third party distributor in China with the first stage being the acquisition of 50.1% for RMB 150 million (£14.5 million at the current exchange rate) with completion of the first stage expected in the second half of the calendar year and the remainder in two tranches over the next five years with the consideration based on performance.
As announced today, the Board of SSL has recommended a cash offer from Reckitt Benckiser plc for the entire issued and to be issued share capital of SSL. Under the terms of the offer, SSL shareholders will be entitled to receive 1,163 pence in cash per SSL share and will also remain entitled to receive the proposed final dividend of 8 pence per share in respect to the year ended 31 March 2010, making, in aggregate, 1,171 pence per SSL share. This represents a multiple of 35.4x the reported diluted earnings per share in respect of the year ended 31 March 2010.
There have been no other significant changes in the financial position of SSL during the period.
For further information:
SSL International plc 0207 367 5780
Garry Watts, Chief Executive
Mark Moran, Group Finance Director
Paul Doherty, Head of Corporate Affairs
Maitland 0207 379 5151
William Clutterbuck
Brian Hudspith
Notes:
This Interim Management Statement may contain forward-looking statements based on current expectations of, and assumptions and forecasts made by management. Various known and unknown risks, uncertainties and other factors could lead to substantial differences between the actual future results, financial situation, development or performance of the Group and the estimates and historical results given herein. Undue reliance should not be placed on forward-looking statements, which speak only as of the date of this document. The Group accepts no obligation to publicly revise or update these forward-looking statements or adjust them to future events or developments, whether as a result of new information, future events or otherwise, except to the extent legally required.