Glanbia Acquires US Performance Nutrition Business for $144 Million
Glanbia, the international nutritional ingredients and cheese group, is acquiring Bio-Engineered Supplements and Nutrition (BSN) for $144m (Eur108m) to strengthen its portfolio in the fast growing, higher margin, sports nutrition sector. The business is being acquired on a debt free basis and is expected to be earnings enhancing in 2011. The acquisition is funded through Glanbia’s existing banking facilities.
Headquartered in Florida and employing 140 people, BSN is a leading developer, provider and distributor of nutritional products designed for health, training, physique development and performance. BSN was founded in 2001 and has since become a leading US performance nutrition business. Its products are shipped to over 40,000 retail outlets in the US and distributed in over 90 countries worldwide.
John Moloney, group managing director of Glanbia.
BSN products and brand have won more than 30 sports nutrition awards in the last five years and this has created excellent brand awareness and product loyalty. All its products are multi-functional and apply to a wide range of lifestyles and consumers. Another core product area is protein powders, where Optimum Nutrition (acquired by Glanbia in 2008) is a market leader. In addition, BSN provides a choice of related performance nutrition products.
In 2009, BSN had net revenue of $135.4m and earnings before interest and tax (EBIT) of $10.1m. At the year-ended December 2009, BSN had gross assets of $30.5m. The business has delivered a good performance in 2010.
“BSN is an excellent strategic fit with our Performance Nutrition business and adds strong brand and market positions that complement and extend our portfolio. Since the acquisition of Optimum Nutrition we have established a market leading, scale position in the attractive, high growth, global sports nutrition sector,” says John Moloney, group managing director of Glanbia. “Global Nutritionals is now a Eur600 million revenue business, a position we have built organically and by acquisition in just over five years.”
