Weider Nutrition sells Haleko Unit
Haleko develops, manufactures and markets nutrition products primarily under the Multipower(R) and Multaben brands, as well as for a number of private label customers.
20/06/05 Weider Nutrition International, Inc. has announced the sale of its Haleko Unit, the company's European subsidiary, to Atlantic Grupa of Zagreb, Croatia. Pursuant to the terms of the purchase agreement, the company received approximately $15.0 million (at current exchange rates) in exchange for the capital stock and partnerships interests of the international subsidiaries that operate the Haleko business. Haleko develops, manufactures and markets nutrition products primarily under the Multipower(R) and Multaben brands, as well as for a number of private label customers.
For the nine months ended February 28, 2005, the Haleko Unit generated net sales of approximately $49.7 million and a loss from operations of $941,000. The company anticipates that it will recognize a transaction related pre-tax, non-cash asset impairment loss of approximately $9.6 million in its fiscal 2005 fourth quarter, subject to final determination of exchange rates and applicable transaction costs. The transaction closed on June 17, 2005, and is effective in the company's fiscal 2006 first quarter.
Weider Nutrition International, Inc. develops, manufactures, markets and sells branded and private label vitamins, nutritional supplements and sports nutrition products in the United States and throughout the world.
