The price of access is about 15 euros in Europe

Essilor enters a new market, that of glasses prémontées, also called "glasses magnifying glasses." Models manufactured in series with the same glasses for both eyes and non-prescription from an ophthalmologist, and presbyopic. The price of access is about 15 euros in Europe. From that of glasses with high value added, as Varilux, the portfolio of the global leader of ophthalmic lenses. To operate this diversification, Essilor yesterday announced the acquisition of us group FGX International, the number one us glasses prémontées for an amount of 565 million dollars (388 million euros), including the recovery of approximately 100 million dollars in debt. 19,75 Dollars per share, the friendly offer of Essilor presents a premium of 27 over the average price of the last two months. It is equivalent to 20 times the earnings per share expected this year. Company in full growth, FGX realized a turnover of $ 256 million year last for a net profit of 17 million, and employs 375 people. American society with comparable to that of Essilor profitability, the French group believes that this entry on a market less than its traditional activities should have a positive impact on its results as soon as 2011. The operation must be completed in 2010. She expected the green light from the regulatory authorities, and also of several shareholders representing about 33 of the capital, which shall meet in extraordinary general meeting to approve the sale.

"It is a strategic decision," insisted yesterday Hubert Sagnières, the Deputy Executive Director of Essilor. It is for us a new market, complementary to our activity of prescription glasses and whose growth is higher than that of our core business. "Indeed, the market of the glasses ready to use, reaching 1 billion euros in the world, is expected to grow 4 to 8 per year in the coming years, compared to 2 to 3 of estimated prescription glasses, to EUR 9 billion.

A purchase price considered "high".

The acquisition of FGX will thus allow HABs champion propose cheaper glasses, the scope of all the awards and, therefore, to offer "a"low cost"vision", according to Hubert Sagnières. Today 2.4 billion people have an uncorrected Visual defect, the proportion ranging from 5 in mature countries such as the France, about 50 in China. Another advantage of this operation, access for Essilor to new distribution channels: the ranges of FGX international, which also offers Sun glasses (33 of sales), are sold in major retail, pharmacies, duty free and optics professionals, or more than 68,000 points of sale. This does not mean that Essilor is considering term to sell its prescription lenses in these circuits. "It is a new division, without synergy with our know-how and risk of cannibalization, resumed Hubert Sagnières. It will constitute a solid basis for a global expansion.

This division will be based in Rhode Island, in the United States, headquarters of FGX, whose current branch will be maintained at the controls. "This proposed merger will enable us to expand our presence in Europe, Asia and other regions of the world," said its President Alec Taylor. For the time being, the society is mainly presents, in addition to its historical market in Britain, the Canada and the Mexico. This global development will be through other acquisitions of specialists of the pre-assembled glasses, a market very fragmented with a multitude of small local actors including sales range from 5 million to EUR 25 million. FGX made all of its production in China by 7 contractors, and provides the creation and design.

The financing of this operation will be performed by "available cash and existing credit lines", said Essilor. The market reacted undistinguished to this announcement. The course of the French group grew by 0.7 in the Paris stock exchange. CM - CIC analysts have declared themselves "surprised" by this "therefore" buy, noting that "it is the first time that the group out of its domain, the glasses".They also questioned the purchase price, "which seems relatively high".