Waterford Wedgwood sells subsidary for $250m
Waterford Wedgwood announced today it is to sell its US-based cookware subsidiary All-Clad for $250m (€203m).
The company will be sold to French company Groupe SEB.
The deal is expected to go through within 60 days, subject to approval by Waterford Wedgwood shareholders and by the Federal Trade Commission in the US.
The cash proceeds will be used to reduce debt, help increase internal efficiency and to support targeted marketing for the group’s three master brands, the company said in a statement to the Irish Stock Exchange.
Waterford Wedgwood acquired the Pennsylvania-based firm for $110m (€89.54m) in May 1999.
Sales were $105m (€85.5m) in the year to March 2004, with after-tax profits at $11m (€8.96m). Its net assets are approximately $39m (€32m).
Waterford Wedgwood is retaining Spring, its European cookware brand.
Group Chief Executive Officer of Waterford Wedgwood, Redmond O’Donoghue said today: “All-Clad was a marvellous investment for Waterford Wedgwood and it is time for our shareholders to derive the benefits of the very significant value that we have added to the brand."
