Tiger Brands is selling its Baby Wellbeing business to an unrelated third party for R605 million as part of a strategic portfolio optimization to focus on its core Baby Nutrition segment.

Information on the Target

Tiger Brands has announced its decision to sell its Baby Wellbeing business, which includes a wide array of baby toiletries and medicinal products marketed under well-known South African brands. This business unit has become part of the company's strategy to optimize its portfolio, allowing for a more focused approach while maintaining its Baby Nutrition segment as a central pillar of operations.

The Baby Wellbeing business will be sold as a going concern to an unrelated third-party purchaser for a total cash consideration of R605 million. Additionally, the purchaser will acquire inventories associated with the Baby Wellbeing unit, valued at approximately R25 million at the time of the transaction. This agreement highlights Tiger Brands' commitment to refining its portfolio by offloading non-core segments.

Industry Overview in South Africa

The baby care industry in South Africa has experienced significant growth in recent years, driven by increasing awareness of health and wellness among parents. The rising demand for quality baby products has b