Moberg Pharma signs deal to acquire OTC brands in the U.S.
Moberg Pharma AB (OMX: MOB) has signed a deal to acquire three well established Over-The-Counter brands in the U.S. from Bayer HealthCare, LLC. Total annual sales for the brands are approximately 20 MSEK (ca 3 m$). The purchase price is 32 MSEK (4.8 m$) and is financed by available cash resources.
The acquired portfolio includes Domeboro®, a topical astringent used for relieving itch and minor skin irritations; Vanquish®, an internal analgesic; and Fergon®, an iron supplement. The brands will be sold through Moberg’s current channel, primarily in chain drugstores and mass retailers, such as Walmart.
“It is with great pleasure that I present this acquisition. We have worked to achieve this kind of deal since we acquired Alterna LLC a year ago, when we established our own presence in the U.S. Today’s deal will very nicely leverage our U.S. sales platform, it contributes immediately to our sales and earnings and to our long term financial goal of achieving an EBITDA margin of 25%”, said Peter Wolpert, CEO of Moberg Pharma AB.
Commenting on the transaction, Erica Mann, president, Bayer HealthCare, Consumer Care said, “We are pleased to sell these brands to Moberg following our realigned strategic focus and portfolio review. The transaction will allow us to further focus on our core brands and global brand expansion in the U.S. and other markets as we work to significantly strengthen our OTC business.”
The transaction is expected to close before the end of 2013.
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 08.00 am (CET) on December 6th, 2013.
For further information, please contact:
Peter Wolpert, CEO, Moberg Pharma AB, telephone: +46 707 35 71 35, e-mail: peter.wolpert@mobergpharma.se
Peter Östling, IR, Moberg Pharma AB, telephone: +46 76 314 09 78, e-mail: peter.ostling@mobergpharma.se
About Moberg Pharma AB
Moberg Pharma AB (publ) is a rapidly growing Swedish pharmaceutical company with direct sales through its own sales organization in the US and sales through distributors in more than 40 countries. The company’s product portfolio includes topical products for the treatment of skin disorders and pain under the brands Kerasal®, Jointflex®, Kerasal Nail™ and Kaprolac®. Kerasal Nail™ (Nalox™ in many markets) is the leading product for the treatment of nail disorders in the Nordic market. The portfolio is developed further through acquisitions and in-licensing of products as well as product development with focus on innovative drug delivery based on proven compounds. Moberg Pharma has offices in Stockholm and New Jersey and the company’s share (OMX: MOB) is listed on the Small Cap list of the NASDAQ OMX Nordic Exchange Stockholm. For further information, please visit: www.mobergpharma.com.
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