Essilor acquires 51% of Transitions Optical.
ESSILOR INTERNATIONAL has announced that it has acquired photochromic lens provider Transitions Optical.
Under the agreement, Essilor will acquire the 51% stake in Transitions Optical owned by PPG, meaning that the company will own 100% of the capital of Transitions Optical. The transaction also includes the acquisition of the high-performance sun lens supplier, Intercast.
Transitions Optical designs and produces a wide range of variable-tint lenses. Essilor and PPG's teams have developed its business jointly over the 23 years since it was established.
Transitions optical generated revenue of $814m in 2012, of which around $310m was with lens manufacturers other than Essilor.
Commenting on the transaction, Hubert Sanieres, Essilor's chair and CEO, said: "This agreement marks the start of a new phase of growth for Transitions Optical, which Essilor and PPG have turned into a leader in photochromic lens products.
"The acquisition of Transitions Optical is fully aligned with Essilor's strategy. It's a company we know well, so the integration process should be smooth. It will enable us to boost expansion in the photochromic segment, which is growing twice as fast as the optical industry, notably in Asia, Latin America and Europe.
"The Transitions brand which, like Varilux and Crizal, is a frontline eye care name, will continue to be available to all lens manufacturers worldwide.
"The acquisition of Intercast will add to Essilor's positioning in the sun lens segment, which enjoys significant growth potential.
"All in all, the integration of Transitions Optical and Intercast into our portfolio of businesses will lead to a significant improvement in the group's profitability and create value for our shareholders and consumers."
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|Title Annotation:||NEWS; Essilor International|
|Article Type:||Brief article|
|Date:||Aug 9, 2013|
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