GALLIPOT IS THE PERFECT PLATFORM TO LAUNCH THE
FAGRON STRATEGY IN THE US
FAGRON IS READY TO ROLL OUT ITS
SUCCESFUL STRATEGY GLOBALLY
Waregem (Belgium) / Rotterdam (the Netherlands)[1], 10 May 2010 – Arseus today announced that it has entered into a definitive agreement to acquire the US company Gallipot Inc., a leading supplier of raw materials for pharmaceutical compounding to pharmacies in the US. It is anticipated that the transaction will close at the end of May 2010. Gallipot has grown strongly in recent years, generating a turnover of about US$ 12.5 million (approximately € 9.8 million) and an EBITDA margin in line with that of Fagron. Gallipot will be consolidated from 1 April and will contribute to Arseus’s earnings per share in 2010.
Ger van Jeveren, CEO of Arseus: “In only one decade Fagron grew from a local player to the European market leader and is now taking the role as the global consolidator in the fast growing niche market of pharmaceutical compounding. In the past year Fagron further optimized operational excellence and prepared the internal organization for the expansion of the proven and profitable strategy of Fagron to other continents. We are therefore very pleased with this first acquisition outside Europe. The acquisition of Gallipot gives Fagron a strong entry into the US market and forms an ideal platform for rolling out the Fagron strategy of revitalizing pharmaceutical compounding and profiting from the fast-growing need for tailor-made medication. A program to make the best possible use of the scale benefits and introduce Fagron’s broader product range in the US through Gallipot will be launched immediately.
We are very pleased with the confidence expressed by Gallipot’s former owners, Barbara and Michael Jones, and senior management to support the Fagron strategy, as well as their commitment to further contribute to the development of Gallipot.”
[1] This press release was sent out by Arseus NV and Arseus BV.
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