Waregem (Belgium) / Rotterdam (the Netherlands), 25 April 2013 – Arseus announces today the acquisition of Freedom Pharmaceuticals, a leading supplier of pharmaceutical raw materials, excipients, bases and capsules to independent compounding pharmacies throughout the United States. In 2013, Freedom Pharmaceuticals expects to achieve turnover of approximately US$ 25 million with an EBITDA margin above the average for the Fagron Group. Fagron paid a multiple of 5.5 times EBITDA for this acquisition. Freedom Pharmaceuticals will be consolidated as of 1 April 2013.
The acquisition of Freedom Pharmaceuticals, a privately held company located in Tulsa, Oklahoma, strengthens Fagron’s global market leadership, creates a presence throughout the United States and allows Fagron to immediately deliver extra value to its customers. Fagron is perfectly positioned to provide compounding pharmacies in the United States with innovative products and concepts, as well as value added services and training, through its offices in St. Paul, MN; Aurora, CO; Scottsdale, AZ; Tucson, AZ; and Tulsa, OK. The addition of Freedom Pharmaceuticals to the existing U.S. operations will allow Fagron to achieve clear and immediate benefits in operations, marketing and sales.
Ger van Jeveren, CEO of Arseus and Fagron: “We are delighted that in addition to B&B Pharmaceuticals, we now welcome Freedom Pharmaceuticals to the Fagron Group. Both acquisitions play an essential role in Fagron’s strategy to strengthen our global market leadership in pharmaceutical compounding and to create a strong and nationwide presence in the United States. Due to the excellent track record and the quality of the organisation of both Freedom Pharmaceuticals and Fagron, we expect a rapid and smooth integration.
In addtion, the Executive Committee of Fagron has decided to appoint Jake Jackson, President & CEO of Freedom Pharmaceuticals, as President of Fagron North America and a member of the Fagron Executive Committee as of 1 January 2014. ”
Jacob (Jake) Jackson, President of Freedom Pharmaceuticals: “I am looking forward to combining forces with the Fagron Group. Fagron’s global and rapidly expanding network offers great potential to roll out successful and unique products and concepts internationally. Our clients will benefit from an excellent range of more than 1.500 high quality products and services, and our employees will enjoy opportunities for further development in an international environment. Further, I look forward to the opportunity of serving as President of Fagron North America and contributing to the future growth and expansion of both Freedom Pharmaceuticals and the Fagron Group”