Dermapharm continues expansion course
- Acquisition of Spanish EUROMED S.A. completed
- Expansion of own packaging competence for granulates and liquids in portion packs
Grünwald, January 23, 2019 – Dermapharm Holding SE (“Dermapharm”), a leading manufacturer of patent-free branded pharmaceuticals for selected therapeutic areas in Germany with a growing international presence, is continuing its expansion course at the beginning of the year. The acquisition of the Spanish company EUROMED S.A. was completed at the beginning of January 2019. Dermapharm also acquired the German company CFP Packaging GmbH as part of an asset deal. In order to continue its profitable growth course in recent years, Dermapharm is not only developing new products in-house and expanding its international presence, but also acquiring companies that suitably complement its portfolio.
On January 3, 2019, the final closing of the acquisition of EUROMED S.A. took place in Madrid. The purchase agreement already concluded on November 18, 2018, had previously been subject to the approval of the antitrust authorities. EUROMED S.A. is a leading manufacturer of standardized herbal extracts and natural active ingredients for the pharmaceutical, nutraceutical and cosmetic industry. With the acquisition of EUROMED, Dermapharm is expanding its own value chain and strengthening its expertise in the growth market for herbal medicinal products. Dermapharm is also taking a further step in expanding its international presence with its own company in Spain and is considering using EUROMED’s local industry know-how to launch its own products on the Spanish market. In 2019, EUROMED S.A. is expected to generate revenues of EUR 70 million and earnings before interest, taxes, depreciation and amortization (EBITDA) of EUR 20 million.
In addition, Dermapharm took over the assets and 16 expert employees from CFP Packaging GmbH, based in Wiedemar near Leipzig, as of January 1, 2019. With this acquisition, Dermapharm has expanded its production capacity by approx. 40 million sticks p.a. and thus created the conditions to meet the growing demand for its successful food supplements, such as VITA aktiv B12 and silicea DIRECT. For Dermapharm, this is a logical step, as, in addition to the increasing demand in Germany, the growing Chinese market in particular requires an expansion of capacities. The company plans to relocate production and jobs to Dermapharm’s nearby main plant in Brehna over the course of 2019.
Dr. Hans-Georg Feldmeier, CEO of Dermapharm Holding SE: “We want to continue growing profitably with Dermapharm this year too and consistently pursue our growth strategy accordingly. With the two acquisitions, we have once again improved our starting position for 2019 and gotten off to a lively start to the new year. We are looking optimistically to the current fiscal year and intend to drive our corporate development forward with great vigor.”