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The receivers of collapsed cosmetics group BWX have completed the sale of Sukin, offloading the group’s manufacturing facility and assets to PNB Consolidated in a deal reportedly worth $70 million.
The news comes almost a year since BWX fell into voluntary administration due to mounting losses and struggling subsidiaries, leaving KPMG in charge of managing day-to-day operations.
The deal will see PNB Consolidated, an investment vehicle managed by former BWX chief executive John Humble, take control of the skincare brand and its new manufacturing facility in Clayton.
It comes around eight months after Greenhill was appointed to manage the sale of BWX’s Australian arm. According to the advisory firm, the sale saw extensive interest from both local and international parties.
The sale of Sukin and its facility is worth just over $70 million, according to a report by the Australian Financial Review. Receivers declined to disclose the value of the deal.
“We are delighted to announce the sale of the Sukin brand. Importantly, we have been able to reach an outcome that keeps both this wonderful brand and high-end manufacturing operations together,” KPMG Australia restructuring services partner David Hardy said.
“PNB Consolidated bring a strong pedigree in the manufacturing and distribution of health and wellness brands. Their vision and ownership will provide the ideal platform for Sukin to flourish for years to come.
“I would particularly like to call out the support of BWX team members, customers, and suppliers throughout the receivership process. This support has been invaluable to the receivers and managers and a key reason for reaching a successful sale outcome.”
When BWX collapsed in April last year, it boasted more than 100 employees and managed the manufacturing, distribution and marketing of brands such as Flora & Fauna, Mineral Fusion, Andalou, Sukin and more.
BWX also owned a 50.1 per cent stake in Zoe Foster Blake’s skincare brand Go-To, which was sold back to her and co-founder Paul Bates for $21.8 million last month. The brand was not in administration or receivership as it was managed outside of the collapsed entity.
The deal came after Flora & Fauna and Nourished Life was acquired by Julie Mathers and New Zealand-based online retailer HealthPost. For Mathers, the acquisition came nearly two years after she sold her business for around $30 million to the now-defunct cosmetics player.
Meanwhile, KPMG’s US office continues to lead the sale of BWX’s US business, which comprises brands Mineral Fusion and Andalou.
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