Atrium buys healthcare supplements company
majority owned subsidiary Atrium Biotechnologies has bought Pure
Encapsulations, a US supplement company, for approximately C$50
million in cash.
Atrium, founded in 2000, develops and markets active ingredients and speciality fine chemicals for the cosmetics, chemical, pharmaceutical and nutritional industries.
The deal gives it access to a network of more than 36,000 physicians and other healthcare professionals currently supplied by the privately owned Pure.
The Boston-based company had sales exceeding $25 million in 2003 and is among the leaders in this growing sector, which generates annual sales of over $1 billion in the United States.
The acquisition also allows Atrium, which had sales of more than $120 million last year, to increase the scope of its activities in the United States, adding Pure's range of 270 products to its portfolio.
Luc Dupont, chief executive at Atrium Biotechnologies, said: "During the last few years, we have dedicated our resources to the successful development of a vast marketing network in more than 20 countries, particularly in Europe where we are well positioned. The acquisition of Pure in the US is a key step in our growth strategy aimed at positioning Atrium among the international leaders in its field."
Gilles Gagnon, president and CEO at AEterna, added that the deal will help the parent company towards becoming cash flow positive in 2004.
Atrium will pursue Pure Encapsulations operations from its present facilities in the Boston area.
