STADA in exclusive negotiations on the purchase of the British OTC manufacturer Thornton & Ross
08/06/2013 . Ad hoc Release
Bad Vilbel, August 6, 2013 – STADA Arzneimittel AG and the owners of Thornton & Ross Ltd. have today agreed to negotiate exclusively on the purchase of the British OTC manufacturer.
Based in Huddersfield, Thornton & Ross was founded in 1922 and has a number of well-known prescription-free (OTC) branded products for a wide variety of indications – among other things, cold, pain and dermatology. In financial year 2012/2013 (April 1, 2012 – March 31, 2013), Thornton & Ross generated sales of GBP 66.233 million (at the current exchange rate approximately Euro 76.66 million) and thereby approximately 11 percent more than in the previous year – for the most part through the pharmacy and drugstore distribution channels in the United Kingdom. The EBITDA margin in 2012/2013 was above the average for the STADA Group. Thornton & Ross is currently one of the fastest-growing companies in the British pharmaceutical market and at the same time number 5 in the British OTC market. Thornton & Ross has an EU-GMP-certified production site and currently employs approximately 425 people.
The contract signing and completion of the acquisition are planned for the third quarter of the current financial year. Consolidation of sales is sought from September 2013. Payment of the purchase price will be made at the time of completion. STADA will use cash on hand and existing free credit lines to finance the acquisition. It is expected that the transaction will contribute to net income from the time of consolidation.
With a successful acquisition, the STADA Group will strengthen its business activities in the British pharmaceutical market in the segment for branded products for self-medication, which is especially strategically important. In addition, the acquisition provides STADA with the opportunity to also introduce prescription-free branded products from the comprehensive Group portfolio in the British market in the future.
For more information, please contact:
STADA Arzneimittel AG
D-61118 Bad Vilbel
Tel.: +49 6101 603-113
Fax: +49 6101 603-506