The acquisition will strengthen Lonza’s specialty nutritional ingredients portfolio
Lonza has agreed to acquire InterHealth Nutraceuticals, a leader in research, development, manufacture and marketing of value-added nutritional ingredients for use in dietary supplements, based in Benicia, CA (USA). InterHealth is a portfolio company of Kainos Capital.
“With this acquisition, Lonza is taking a further step along our strategic path as a high-value supplier to the healthcare continuum,” said Richard Ridinger, CEO, Lonza. “Lonza will leverage the successful product portfolio of InterHealth on a global level and in turn will be able to benefit from InterHealth’s proven management and branding capabilities to promote Lonza’s existing product portfolio. We see significant positive synergies from this combination.”
InterHealth offers more than 15 branded ingredients, including its cornerstone ingredient, UC-II, which is revolutionising the joint-health segment; and it complements Lonza’s existing nutritional portfolio in the area of sports nutrition, weight management, immune health and pet health. The acquisition will also expand Lonza’s offerings into new areas such as cognitive and diabetic health.
Lonza will acquire InterHealth for a total transaction price of up to $300 million, representing a multiple of approximately ten times InterHealth’s EBITDA for the twelve months ended July 2016, split into an upfront payment and an earn-out payment. Closing is expected to take place in September 2016 following customary closing conditions.
EP News Bureau – Mumbai