Fiskars Corporation Acquires WWRD and Extends Its Portfolio

Waterford

Fiskars Corporation, a global supplier of consumer products for the home, garden and outdoors, has agreed to acquire the WWRD group of companies and its portfolio of iconic luxury home and lifestyle brands, which include Waterford, Wedgwood, Royal Doulton, Royal Albert and Rogaška. Fiskars continues executing its growth strategy and becomes a leading global branded consumer goods company in the luxury and premium home and lifestyle products market, with a clear focus on tabletop, giftware and interior décor. For Fiskars Living business, the WWRD acquisition will create a strong presence in the U.S., and will further enhance Fiskars’ market position in Europe and Asia-Pacific.

Fiskars has on May 10, 2015 agreed to buy 100 percent of the shares in the holding company of the WWRD group, including its brands and business operations from the U.S.-based private equity firm KPS Capital Partners. Fiskars will also acquire certain intercompany receivables. The purchase price payable is $437 million (EUR 406 million) on a cash and debt free basis, subject to a post completion adjustment based upon the level of net working capital and cash and debt in the acquired business on a closing date. Fiskars will finance the acquisition by monetizing its holdings in short term interest rate funds. The transaction is subject to the completion of the antitrust filing under the U.S. Hart-Scott-Rodino Antitrust Improvements Act (HSR Act), and it is expected to close in the beginning of July 2015.

Upon the closing of the transaction, Fiskars and WWRD will start building a successful future together as part of a strong family of highly renowned brands. The management of WWRD will report to Mr. Kari Kauniskangas, President and CEO of Fiskars Corporation.

“We are delighted to be bringing together WWRD’s portfolio of iconic luxury home and lifestyle brands with Fiskars’ highly regarded Living brands of Iittala, Royal Copenhagen, Arabia and Rörstrand, which are renowned for their Scandinavian design and heritage. After the acquisitions of Iittala Group Ltd. in 2007, Royal Copenhagen A/S in 2013 and now WWRD, Fiskars Group is set to become a leading global branded consumer goods company in the area of luxury and premium home and lifestyle products focusing on table top, giftware and interior décor,” says Kari Kauniskangas, President and CEO of Fiskars Corporation.

“Through the acquisition we will create a strong presence for the Fiskars Living business in the U.S., and further enhance Fiskars’ market position in Europe and Asia-Pacific. Fiskars will now have a balanced portfolio of businesses. Our Functional products and Living products business units will become approximately equal in size and all business units, including Outdoor, will continue as important parts of our company and will be developed according to our strategy,” continues Mr. Kauniskangas.

Royal Albert

The brand portfolios and product offerings of Fiskars Living business and WWRD complement each other well. Fiskars will continue to develop all WWRD and Fiskars Living brands, as the success of each brand stems from preserving their intrinsic values. As a company with centuries of history, the heritage and longevity of WWRD’s brands resonates strongly with Fiskars. The unique offering of each brand is based on a combination of their heritage and history. Fiskars will focus on strengthening these unique brands based on Fiskars’ consumer insight and deep understanding of consumer goods industry drivers and on leveraging common success models across them.

“We look forward very much to building a joint future with Fiskars. There is an excellent fit with the brand portfolios of both companies, and we will be able to build a joint success that will stem from the deep roots and core values of both the WWRD and Fiskars’ Living brands. We are delighted to be getting an owner that has strong industry experience and an impressive 365 years of heritage in Scandinavian design. I am confident that these strengths, together with our continued focus on contemporary relevance, will ensure that the WWRD brands will retain and indeed grow their iconic status around the world and capture the ongoing growth in luxury demand,” says Mr. Pierre de Villeméjane CEO of WWRD.

WWRD manufactures, distributes and sells globally renowned brands with centuries of heritage. The portfolio includes Wedgwood (established in 1759), Waterford (1783), Royal Doulton (1815), Royal Albert (1904), and Rogaška (1665). WWRD has a global footprint and has manufacturing sites in England, Ireland, Slovenia and Indonesia. The retail store structure consists of 226 stores, of which 76 are owned by WWRD and the remaining 150 are concession stores. WWRD products are also sold in luxury and premium department stores and by specialty retailers in over 100 countries and 10,000 locations. WWRD employs 3,800 employees across 14 countries and, after the acquisition, Fiskars Group will employ a total of 8,600 employees.

WWRD has high-profile licensing partnerships and collaborations with leading designers and innovators in the home and lifestyle market, including: Vera Wang, Jasper Conran, John Rocha, Monique Lhuillier, Gordon Ramsay, Donna Hay, Miranda Kerr, Jo Sampson, Barber and Osgerby.