Philip Morris International acquires Fertin Pharma / Day for $ 820 million
The acquisition will strengthen our company’s transformation process toward the introduction of innovative smokeless products that will replace traditional cigarettes and tobacco products in the foreseeable future, as well as improve our smokeless product portfolio and progress in nicotine-free product development, “said Jacek Olchak, PMI CEO.
Fertin Pharma, which employs 850 people in Denmark, Canada and India, manufactures pharmaceutical chewing gum with nicotine, as well as other pharmaceuticals that help to quit smoking. In 2020 Fertin Pharma net revenue was DKK 1.1 billion (approximately USD 160 million). The transaction value is approximately 15 times greater than Fertin Pharma 2020 EBITDA.
Now Fertin Pharma is owned by the global investment organization EQT and Bagger-Sørensen & Co. In the statement Philip Morris International notes that the transaction will be funded from accrued funds and is expected to be concluded in the fourth quarter of this year, subject to the approval of the relevant regulators. Upon completion of the purchase Fertin Pharma will become a wholly owned subsidiary of PMI.
Fertin Pharma net income last year was $ 160 million.
July 9, 2021