Humble Group continues executing on its M&A strategy by making its first Norwegian acquisition, acquiring all shares in Fitnessgrossisten AS. The acquisition was conducted through Humble’s fully owned subsidiary Golden Athlete AB. Fitnessgrossisten AS is active in the sports nutrition space and runs both B2B and B2C sales, offering vitamins and dietary supplements as well as fitness accessories from well-known brands through its online channels. In addition to being a distributor, the company also provides storage space and packaging of third-party products. Since being founded in 2012, Fitnessgrossisten has achieved solid growth with underlying profitability. More specifically, the company estimates that it will post sales of SEK 77.1m and EBITDA of 11m for 2022, corresponding to a an above-group margin of 14.3% (ABGSCe is 10.4% for ‘22e). Adding 2% to sales and 2.8% to EBITDA in ‘22e The fixed purchase price amounts to SEK 37.4m, of which 50% will be paid in cash and the other 50% with shares (corresponding to a share dilution of c. 0.3%). The acquisition is made at a multiple of 3.4x EV/EBITDA, which is in the lower range of Humble’s historical acquisitions. All else equal, based on our 2022 estimates, the acquisition could add 2% to the group’s sales and 2.8% to EBITDA. Lastly, the company states that earn-outs based on ’22-’25 EBIT performance could be added. Strengthening its sports nutrition vertical According to management, the acquisition is expected to generate synergies in terms of distribution and cross-selling. Fitnessgrossisten already sells products from some of Humble Group’s brands (e.g., Slender Chef and First Class Brands), which strengthens our belief that there are more synergies to exploit once Fitnessgrossisten is integrated into the group. In all, the acquisition further strengthens Humble’s sports nutri ... Läs mer på Introduce
