Betterware de México, S.A.P.I. de C.V., also known as BeFra, announced it has entered into a definitive agreement to acquire Tupperware’s operating assets in Latin America. The agreement primarily pertains to assets in Mexico and Brazil and includes a perpetual, royalty-free, exclusive license for the Tupperware brand throughout the Latin American region and an acquisition of 100% of Tupperware’s LatAm businesses.
“This acquisition brings together three of the most iconic brands in Latin America’s direct selling market — Betterware, Jafra and now Tupperware,” said Luis Campos BeFra Chairman. “We see extraordinary potential to reignite Tupperware’s growth in the region, by leveraging our proven direct-to-consumer capabilities and bringing renewed product innovation to millions of households across the region.”
The acquisition closed at $250 million, consisting of $215 million in cash funded with debt and $35 million in BeFra shares on a debt-free, excess-cash-free basis.
BeFra described the acquisition as a “strong, strategic fit with BeFra’s integrated business model” and described Tupperware LatAm as a “high-quality business with proven profitability.” BeFra plans to renew Tupperware’s previous focus on consumer-driven product innovation but with an elevated value proposition. BeFra executives who previously led Tupperware in the region will support implementation of this strategy.
“This acquisition is fully aligned with BeFra’s strategy of building great brands, one essence,” said Andrés Campos, BeFra Chief Executive Officer. “Tupperware’s iconic presence in Latin America presents a clear opportunity to drive innovation and brand growth through BeFra’s proven operating model and long-term value for the group.”
BeFra said it has identified “significant potential revenue and cost synergies across the three brands” and expects to benefit from a seamless integration of BeFra’s distribution engine across LatAm and from significant performance upside through recovery, innovation and local manufacturing. BeFra will also work to leverage Tupperware’s existing manufacturing capacity.
