Hain Buys Avalon Organics

GREENWICH, Conn.—The Hain Celestial Group has entered a definitive agreement to purchase Avalon Natural Products from North Castle Partners LLC for $120 million in cash. The sale centers around the Avalon Organics® and Alba Botanica® brands, leaders in natural and organic skin, hair, bath and body care markets. The transaction is expected to be accretive to Hain Celestial’s earnings during its 2008 fiscal year.

The sale of Avalon marked the forth 2006 transaction for North Castle, which recently announced the sale of Naked Juice Company to PepsiCo and has completed the sale of both Equinox Fitness and CRC Health. The sale is also the fourth for Hain (www.hain-celestial.com) in the personal care arena, having bought Jason, Zia and Queen Helene brands in the past year and a half.

“The acquisition of the Avalon Organics and Alba Botanica brands will strengthen Hain Celestial as one of the leading natural and organic personal care products companies in a category that is experiencing double-digit growth,” said Irwin D. Simon, Hain’s president and chief executive officer (CEO). “With this acquisition Hain Celestial will have a strong foundation in the personal care market with sales of $125 million.”