Moberg Pharma increases efficiency and reduces costs through expanded partnership with Emerson Group
Moberg Pharma AB (OMX: MOB) announced that it entered into a services agreement with Emerson Healthcare, a division of Emerson Group, who will provide certain logistical services and all order to cash functions for retailer and wholesaler customers in the U.S. Along with the outsourcing agreement, the companies are entering into a new Sales Representation Agreement with Emerson Group. The two agreements will result in significant savings in sales and administrative costs for Moberg.
Moberg’s U.S. subsidiary has contracted with Emerson Group for its contract sales functions since 2007. Outsourcing logistical services to Emerson Healthcare will also create savings and efficiencies for Moberg’s retailer customers, by consolidating ordering, receivable, inventory and chargeback functions with the other Emerson clients. Emerson currently provides the same functions for over 200 brands with retail sales of over $1 billion. The agreements take effect on December 1, 2014.
“We are pleased to expand the successful relationship with Emerson. Outsourcing these services will provide immediate savings in freight costs, as well as reducing focus of internal resources on non-value added activities. Under this new model our U.S. team will be able to spend more time and effort on activities that directly drive sales and build brand equity,” said Peter Wolpert, CEO of Moberg Pharma AB.
“We are excited about Moberg’s model to drive growth through a unique combination of innovation and brand equity. The expanded partnership unlocks additional value and enables us to support Moberg’s growth in the U.S. in an excellent way,” said Scott Emerson, President and Founder of Emerson Group.
About this information
Moberg Pharma discloses this information pursuant to the Swedish Securities Markets Act and/or the Financial Instruments Trading Act. The information was submitted for publication at 8.30 am (CET) on November 4, 2014.
For additional information contact:
Peter Wolpert, CEO
Telephone: +46 (0)70 - 735 71 35
Peter Östling, IR
Mobil: +46 (0)76 – 314 09 78
About Moberg Pharma
Moberg Pharma AB (publ) is a rapidly growing Swedish pharmaceutical company with a direct sales and marketing organization in the U.S. and an extensive distributor network in more than 40 countries. The company’s OTC portfolio includes the brands Kerasal®, Jointflex®, Kerasal Nail™, Domeboro®, Vanquish®, and Fergon®. Kerasal Nail™ (Nalox™ in certain ex-U.S. markets) is the leading product for the treatment of nail disorders in the U.S. and Nordic market. The current portfolio will be supplemented by the acquisition and in-licensing of additional products as well as product development with a focus on innovative drug delivery of proven compounds. Moberg Pharma has offices in Stockholm and New Jersey and the company’s shares (OMX: MOB) are listed on the Small Cap list of the NASDAQ OMX Nordic Exchange Stockholm. For further information, please visit: www.mobergpharma.com.
About Emerson Healthcare
Emerson Healthcare (EHC) is a complete “order to cash” provider. It´s technology platform reduces costs for the retailer and manufacturer. EHC is a vendor with over 200 North American retailers. Winning Vendor of the Year awards with retailers like Walmart and Rite Aid.