Acquire an innovative supplier of house-brand and private-label nutraceuticals to leading retail pharmacies across South Africa.

South Africa
Client Code: BN000034340
Turnover (Actual): R20,733,547
EBITDA (Actual): R3,494,820

Our client is an incubator of successful nutraceutical brands, sold in leading retail pharmacies across South Africa. The company has well-established trade relationships with suppliers and customers alike, which enables it to create unique formulations of quality products that have a direct route to market. Producing both house-branded and private-label products, the company enjoys recurring orders and has become well-entrenched with leading retail pharmacies. Significant IP resides in the company's formulations, as well as its systems and processes, now available for acquisition.

Key Aspects
  • Well-known house brands and registered trademarks include immune boosters, multivitamins and much more.
  • Designing and procuring high performing private-label nutraceutical products for blue-chip brands.
  • Intellectual property includes innovative and proprietary scientific formulations.
  • Strong relationships with leading retail pharmacies, supplying them both house-brand and private-label products.
  • Products are popular with a diverse user base, from young to old across all ethnicities and genders.
  • Reliable suppliers provide manufacturing, storage, and distribution, enabling the company to rapidly scale to meet demand.
  • New products are quickly gaining market share by appealing to consumers pandemic related health concerns.
  • Innovative products poised for market launch - Several products in its pipeline, in various stages of launching to market, which could be fast-tracked by an acquirer. 
  • Continue to penetrate deeper into existing markets - The company's products are sold in most large retailers, however, the opportunity exists to have a greater proportion of the company’s product portfolio in each store. 
  • Leverage e-commerce & direct selling - The company is seeing success growing its industrial and mining customer base, increasing bulk direct sales. Given global and local trends for e-commerce, further emphasis could be placed on the company's existing e-commerce platform to increase sales through this channel. 
  • The company is headquartered in Kwazulu-Natal, with a lean but adequate staff complement. Products are shipped across South Africa through customers distribution centres.
Current Markets
  • The majority of the company's business is from retail pharmacy chains, including some of the country's largest names.
  • Direct drug wholesale is the company's second-largest market, comprising industrial and mining customers, rapidly growing in light of incentives to keep staff healthy.
  • Independent retail pharmacies make up a smaller, but significant portion of sales.