Nutritional Supplements Bayer Buys Schiff Nutrition for 1.2 Billion Dollar
Bayer Healthcare buys US vitamins and nutritional supplements specialist Schiff Nutrition for US $ 1.2 billion. The transaction includes several large health nutritional supplements brands.
Morristown, New Jersey/USA – Bayer is committed to augment its organic growth with strategic bolt-on acquisitions. This transaction represents an excellent strategic fit for our Healthcare business,” said Dr. Marijn Dekkers, CEO of Bayer AG. “The Schiff business significantly enhances our presence and position in the United States, which accounts for more over-the-counter and nutritional products sales than any other country in the world.” The Schiff portfolio includes strong brands in three large health supplement segments including Joint Care (Move Free), Cardiovascular Health (Mega Red) and Immune Support (Airborne), among others. These products complement Bayer’s existing OTC portfolio and will allow it to provide consumers with a broad range of options in these key segments, company speakers explained.
Double Digit Growth in Nutritional Supplements Expected
Schiff generated net sales of US$259 million (approximately € 200 million) for its fiscal year ended May 31, 2012. On September 18, 2012, Schiff publicly announced that net sales for fiscal year 2013 were projected to grow between 43 and 46 percent. Expected sales growth includes contributions from new products and brand building as well as Airborne, which was acquired by Schiff on March 30, 2012.
“We will utilize our extensive marketing, sales and distribution expertise to further develop the strong brands we are acquiring,” said Dr. Jörg Reinhardt, CEO of Bayer HealthCare. “We will also look to leverage Schiff’s new technology platforms with innovation potential for other Bayer-owned brands and markets globally.”
The company employs approximately 400 people with its headquarters and manufacturing site based in Salt Lake City, Utah, as well as offices in Emeryville, California.