Israeli Pride: A Significant Exit in Israeli Industry amidst challenging times
Tene Capital has sold its holdings in Sharon Personal Care, the cosmetics division of Sharon Laboratories Group, to Eternis Fine Chemicals, Ltd.
The estimated value of the Group’s total assets, together with the sale, reflects a profit of 3 times Tene’s initial investment.
Tene Capital: “This milestone transaction underscores our commitment to promote growth within Israeli industry through careful execution of global strategy in differentiated markets“
December 4, 2024
Tene Capital has sold its holdings in Sharon Personal Care (“SPC”), the cosmetics division of Sharon Laboratories Group, to Eternis Fine Chemicals, Ltd.
The estimated value of the Group’s total assets, together with the sale, reflects a profit of 3 times Tene’s initial investment.
Sharon Laboratories Group, which was established in 1977, specializes in the development, production and marketing of ingredients for the food, baking and cosmetics industry. The Group’s cosmetics business was established in 1992 as a developer and manufacturer of preservation systems for cosmetic formulations. In March 2017, Tene acquired approximately 60% of the Group’s shares in exchange for approximately $40 million.
Under Tene’s leadership, SPC pivoted away from traditional preservation systems and towards the development of innovative and breakthrough preservation technologies, based on natural and “free-from” ingredients. In 2022, SPC acquired two cosmetic ingredients companies in Italy and entered an exclusive joint venture with a third company, all of which enhanced the Company’s product portfolio and its commitment to sustainable technologies. Since Tene’s investment, revenue and profitability increased significantly due to synergies and strategic investment in key geographic markets.
Today, Sharon Personal Care is considered one of the most innovative and forward-leaning companies in the cosmetic ingredients industry. SPC’s products and solutions are used in applications such as skin and hair care, wipes and sun care.
Deborah Ifrah-Assor, Managing Partner at Tene Capital, said: “This milestone transaction underscores our commitment to promote growth within Israeli industry through careful execution of global strategy in differentiated markets. Eternis’ acquisition of SPC as its debut into the personal care market is a testament to the Company’s high strategic value and positioning amongst its peers. The Company will immediately anchor Eternis as leader in the personal care ingredients market and will continue to operate its manufacturing, research and development in Israel.”
Tene Capital was represented in the transaction by Jefferies Investment Bank, legal counsel from EBN – Erdinast, Ben Nathan, Toledano, and by KPMG Advisory.
About Eternis Fine Chemicals
Eternis Fine Chemicals Ltd, is a wholly-owned family business that has been in the fragrance and flavour industry for decades. The aroma chemicals business is operated by the Mariwala family. Eternis was founded in India in 1988 originally as Hindustan Polyamides and Fibres Limited (HPFL) and was re-branded as Eternis Fine Chemicals Ltd in 2015.
Eternis is headquartered in Mumbai, India and has four manufacturing facilities in the State of Maharashtra (India), with a total capacity of over 66,000 tons per year of Aroma Chemicals. It has a turnover of over $ 250 million and has 600+ employees. Eternis made its first acquisition in 2018 with the addition of Aims Impex in India, and very soon went on to acquire Tennants Fine Chemicals Ltd, UK in 2021 and has been continuously expanding its capacities and portfolio.
For further information on Eternis, please visit www.eternis.com
About Sharon Personal Care
Sharon Personal Care is a global supplier of innovative ingredient solutions for a broad range of personal care products, with specialized expertise in trending market segments. The company’s product portfolio includes unique preservation systems, green functional chemistries, Bio-active ingredients and Oleosome technology.
Sharon has a proven track record of innovation combined with the ability to provide comprehensive solutions at light speed. With a solid foundation in environmentally sustainable chemistry, Sharon delivers multifunctional ingredient solutions that help differentiate personal care products in a fast-changing market. The company employs about 100 people worldwide, with manufacturing, logistics and scientific facilities on three continents.
For further information on Sharon PC, please visit www.sharonpc.com
