GOTHENBURG, Sweden, May 12, 2024 /PRNewswire/ -- Zinzino, the global health and wellness brand from Scandinavia, has acquired, through a business asset acquisition, the rights to the distributor database and associated customer register, inventory, and intellectual property of the Luxembourg-based direct sales company Xellis. This is a further strategically important step in Zinzino's growth plans, focusing on improving personal health and well-being on a global level with innovative biotechnology and a groundbreaking product portfolio marketed through direct sales.
Xelliss is a global direct sales company based in Luxembourg. Its brand portfolio offers a range of natural and innovative products in wellness, nutrition, and cosmetics, based on the microalgae spirulina produced in-house.
A visionary mindset, a tech-first approach, test-based nutrition at the cellular level, and a strong position to take advantage of current trends will shape the foundation of the partnership with Xellis. Since the acquisition of VMA Life in 2020, Enhanzz in 2022, and the strategic cooperation with ACN at the start of 2024, Zinzino has been looking for additional powerful investments to maintain its sustainable, profitable growth, strengthen its distribution power, expand into new markets, and utilize its product portfolio in new consumer areas.
-Individual advising and customized solutions are the future, not only in health and wellness, says Dag Bergheim Pettersen, CEO of Zinzino, and Jean-Michel Larré, CEO and founder of Xellis. Together, we have many years of combined industry experience and everything required to drive the modern, personal shopping experience through direct sales.
Zinzino acquires Xelliss's distributor organization as well as inventory and IP rights to the product lines. The operation, which had a turnover of approximately 8 million EUR last year, is expected to generate strong growth through the synergies created in the joint networks. The operation's gross margins are good, and profitability will therefore be able to develop very well by utilizing Zinzino's existing technical platform and organization.
At the time of entry, Zinzino will pay a fixed purchase price of 2 million EUR, divided into 50% cash and 50% newly issued Zinzino shares. In addition, conditional additional purchase prices based on sales development generated by the acquired distributor organization during the period 2024-2029 will apply. The total additional purchase prices are estimated to amount to 4.0 million EUR but could reach up to 8.0 million EUR at maximum outcome and will be regulated entirely with newly issued Zinzino shares. The cash portion of the purchase price is financed with own cash.
For more information:
Dag Bergheim Pettersen CEO Zinzino +47 (0) 932 25 700, zinzino.com
Fredrik Nielsen CFO Zinzino +46 707 900 174, fredrik.nielsen@zinzino.com
Pictures for publication free of charge:
marketing@zinzino.com
Certified Adviser: Carnegie Investment Bank AB (publ)
Zinzino AB (publ) is obliged to publish this information in compliance with current EU regulations governing market abuse. The information was provided by the above contact person for publication at 13.00 on the 12th May 2024.
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https://news.cision.com/zinzino/r/zinzino-ab--publ--zinzino-acquires-assets-in-xeliss---strategic-reinforcement-in-southern-europe-and,c3977049
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