Nordic health food and personal care group, Midsona has agreed to fully acquire Internatural AB from Priveq Investment Fund IV for SEK 810 million (US$94.2 million).
Internatural is a leading independent distributor and marketer of organic, plant-based and healthy food products in Sweden and Norway, with a strong portfolio of proprietary local and international third party brands. Among the mix are Kung Markatta in Sweden and Helios in Norway – two leaders that have been pioneers in their respective markets.
The addition of this portfolio is seen as highly complementary to Midsona’s organic Urtekram brand and will help position Midsona to lead product development and attain sustained growth.
Organic food sales in Sweden saw a significant jump last year, increasing by 40% according to Fresh Plaza.
“There are all sorts of customers interested in organic products, but the most important group are the younger, say between 25 and 45 years,” Daniel Klint, manager of Sweden’s Coop Extra told Fresh Plaza. “They are probably a little savvier and choose not just organic foods, but also ecological diapers, for example.”
“The addition of Kung Markatta and Helios, together with Urtekram, provides Midsona with the market leading position within packaged organic food products in each of the countries that we are currently active in (Sweden, Denmark, Norway and Finland). We have been impressed by the Internatural team and are delighted to be welcoming them to Midsona”, says Peter Åsberg, CEO of Midsona in a recent company statement.
The deal had an expected close date of July 5 and Internatural’s strong profitability is expected to provide returns for Midsona’s Q3 financial results. Last year Internatural posted sales of SEK 637 million (US$74 million) and an EBITDA of SEK 65 million (US$7.56 million). For this year, Midsona forecasts Internatural’s sales to reach SEK 735 million 85.5 million) with an EBITDA of SEK 85 million (US$9.88 million).
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Lynda Kiernan