LifeClean International grows through acquisition of renowned chemical companies active in cleantech

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January 20, 2021, 10:20 CEST

This release is a translation of LifeClean International’s publication from January 19, 2021:

LifeClean International AB (“LifeClean”) has today concluded an agreement to acquire all of the shares in Kempartner AB and Kemibolaget Ocean AB (“the Transaction”, “the Companies”). The acquisition broadens LifeClean’s product range and brand portfolio, ensures production capacity, results in synergies and transfer of knowledge that align well with LifeClean's growth strategy, and establishes new business areas. Together we become one of the most interesting cleantech and infection prevention concepts on the market.

The Transaction in brief:

  • The acquired companies, Kempartner and Ocean, are wholly-owned subsidiaries of Kemibolaget i Bromma AB. Kempartner conducts climate-neutral private-label production of chemical products and has a factory in Vadstena. The customer base includes a number of well-known Swedish and international brands among the present and former customers. In addition, the companies offer about 60 products with a clear environmental profile under the private-label brand Ocean, marketed towards professionals and consumers, for use in laundry, dishwashing, and cleaning.
  • The purchase price amounts to MSEK 35, MSEK 15 of which financed by bank loans, MSEK 12 by own resources and MSEK 8 by a new issue of shares.
  • The acquisition is expected to contribute positively to LifeClean's earnings per share as of the second quarter 2021.
  • The Companies have seen strong growth and increased profitability in recent years. Net sales for the financial year 2020 is estimated to surpass MSEK 50, corresponding to an annual growth rate (CAGR) of approximately 35 percent since 2018. EBITDA is expected to reach approximately MSEK 5.
  • LifeClean’s assessment is that the acquisition will generate additional EBITDA of approximately MSEK 7.5 to the Group, when synergies are taken into account.
  • The Transaction ensures and furthers LifeClean’s production capacity, which entails that planned investments of approximately MSEK 5 in the current facility now can be cancelled.
  • LifeClean considers that the Transaction will give rise to considerable synergies in line with the growth strategy.

Significant synergies aligning with the growth strategy:

In addition to the positive effect of the Companies’ turnover and performance, LifeClean International believes that the Transaction will result in significant synergies, well in line with the growth strategy. It is LifeClean’s assessment that these will include a substantial streamlining of purchasing by means of joint and coordinated purchases. In the absolute majority of cases, cleaning is part of the disinfection procedure. The three companies and their respective product ranges thus form a natural complement of each other’s customer bases and partners, which is expected to result in sales synergies. As early as fall 2020, the three companies achieved joint successes when Ocean included the LifeClean Disinfectant in its offering through wholesalers such as Apotea and Granngården.

The Transaction ensures and develops LifeClean's production capacity by means of a modern, automated, and partly robotized production facility with significantly higher and broader production capacity compared with the current facility in Uddevalla. For example, Kempartner has significantly higher bottling capacity with six filling lines. This allows LifeClean to cancel a planned investment of approximately MSEK 5 in its existing facility. In addition to the significantly expanded production capacity in liquid chemical production, the acquisition also provides competence and capacity in chemical powder production.

The Transaction further brings resources and knowledge within chemical development, for example related to unique additives and surfactants, which strengthens LifeClean’s possibilities to conduct product development and R&D. This applies both to the research and development projects relating to other forms of application of LifeClean's patented chemical technology, as disclosed in LifeClean's share issue prospectus in the fall of 2020, and entirely new concepts that can be developed by combining LifeClean’s innovative chemistry with Kempartner’s collective competence in green and climate-neutral production of chemical products.

The Transaction gives access to considerable green skills and climate expertise. Ever since its inception in 1977, Kempartner has been at the forefront with regard to environmental and health issues, for example by launching the world’s first climate-neutral and the world’s most economical laundry detergent. According to life-cycle assessments by KTH Royal Institute of Technology, Kempartner’s laundry detergent reduces the climate impact by more than 75 percent. Today, the chemical production is completely climate- and environment-friendly and environmentally certified according to ISO 14001. In addition, Ocean products are certified with the eco-labels EU Ecolabel, The Nordic Swan and Good Environmental Choice, and several of the products are also approved by the Swedish Asthma and Allergy Association. The founder of Kemibolaget AB, Leif Löf, is a pioneer in the field of chemical cleantech, for example, a former board member of SIS Miljömärkning AB (sender of the eco-label The Nordic Swan) and has with the motivation, "enthusiast in environmentally friendly product and method development" been awarded by Stiftelsen Konung Carl XVI Gustafs 50-årsfond för vetenskap, teknik och miljö. Furthermore, Kempartner has received the environmental achievement award Global 100 Eco-Tech Awards.

Through the Transaction, LifeClean expands its operations to more business areas and sales segments. Notable among the new business areas is the private-label operations, where Kempartner has 43 years of experience and competence. The LifeClean Group also establishes itself in a broader cleaning segment under the Ocean brand. LifeClean has previously identified an expanded product portfolio as one of the key steps towards becoming a more attractive supplier for existing and prospective partners, and this is now achieved through the breadth of Kempartner in both liquid and powder chemical production and with more than 300 well-proven formulations.

Details of the Transaction:

The purchase price will be paid in cash on the date of access, February 1, 2021, with MSEK 27 and a promissory note of MSEK 8. The acquisition is financed by bank loans (MSEK 15.0), own resources (MSEK 12.0) and a new issue of shares (MSEK 8.0) in LifeClean International AB (publ). The number of newly issued shares amounts to approximately 735,000, which results in a dilution of approximately 1.8 percent. The determination of the issued number of shares is based on a settlement price of approximately SEK 10.845, corresponding to the volume-weighted average price of the share of LifeClean International (publ) during the trading days between October 1, 2020 and January 15, 2021. The issue of the new shares is contingent on the approval of the Annual General Meeting of April 14, 2021 and will be set off against the previously issued promissory note. The seller has committed itself to restrictions regarding how the newly issued shares in LifeClean International AB (publ) received as consideration may be sold.

Comment from the CEO:

LifeClean, Ocean and Kempartner are three companies that put innovation and concern for the people and the environment first. Through the acquisition, we are now creating a one-stop partner for development, production and marketing of disinfectant and cleaning products. The acquisition is a major stride for LifeClean toward its vision to protect human beings, animals and nature while contributing to the well-being of all.

At the time of writing, LifeClean is in the midst of several processes of change that will transform LifeClean and our market position radically. This includes our transformation into a medical device company in 2021, when we will obtain certification in accordance with the EU Medical Devices Directive. The acquisition further allows us to offer high-level disinfection bundled with an environmentally friendly, high-end cleaning concept. This is a game changer that responds to several challenges within both infection prevention and environmental issues, faced by important market segments.

We are eager to develop business opportunities and synergies between the three companies. At the same time, the undersigned and the CEO of Kempartners/Ocean want to emphasize the importance of continuity and further strengthening of the positive growth achieved by the three companies during 2020. We and each of our teams are looking forward to an eventful 2021. As the CEO in a time of transition, I note that we now stand even better prepared to face the green future that awaits us all and that we will be able to offer the best chemical disinfectants, cleaning products and product-related and environmental innovation available on the market.

Comment from Kempartner & Ocean:

I am very pleased that Kempartner and Ocean are now found under the ownership of LifeClean and that my ongoing commitment as CEO of the Companies will continue. LifeClean is a company that we have a lot of faith in, and we will be able to develop its patented chemistry in our product areas and customer segments.

Kempartner will be a resource for LifeClean’s products and meet the great market demand for unique disinfectant products and private label. Ocean, which is an EU brand, will be an important complement to LifeClean's product portfolio. Meanwhile, Kempartner and Ocean and the skilled staff will continue to focus our operations on our most important asset – our customers and partners – and on providing them the best possible products and service.

We have great confidence in LifeClean and its management, and we look forward to continue our work together to create value for our customers and shareholders.  Fredrik Löf, CEO of Kempartner AB and Kemibolaget Ocean AB.

This information is information that LifeClean International AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact person set out above, at 10:20 CEST on January 20, 2021.

For more information, please contact:                                                 

Thomas Lööw, CEO, LifeClean International AB
+46 70 795 59 35

About LifeClean International:

LifeClean International (“the Company”) was founded in 2012 in conjunction with a research collaboration between the Company’s founders and researchers at Örebro University Hospital. The Company conducts research, production, marketing and sales of disinfectant products. Together with leading researchers, the Company has developed a patented surface disinfectant that eliminates spores, fungi, biofilm, bacteria and viruses, prevents emergence of antimicrobial resistance and is less harmful to humans and the environment. LifeClean International has a unique, patented and more environment-friendly chemical technology that is scalable in several areas.

For more information, please visit LifeClean International’s website,

Certified adviser for the Company is Eminova Fondkommission AB | +46 8-684 211 10 |