Cork probiotic firm acquired by Danish company in €80m deal
A Cork company that produces probiotic products has been acquired by a Danish company in an €80 million deal.
Novozymes announced that it has acquired PrecisionBiotics Group Limited. Based in Cork, PrecisionBiotics Group began in UCC and produces gut health products Alflorex and Zenflore.
The acquisition gives Novozymes broader access to the overall consumer health market and a stronger entry point to the €5 billion human probiotic supplements market which is expected to grow with a high-single-digit range over the next three to five years.
Novozymes has acquired 100% of the equity in PrecisionBiotics Group Limited for an amount of DKK 600 million (€80 million) on a cash and debt-free basis.
“This acquisition fits well with our strategy, Better business with biology, where we have focus on human health as one of our opportunities for growth," said Ester Baiget, President and CEO of Novozymes.
She said PrecisionBiotics Group has strong expertise within clinical development, upscaling and commercialisation and is well situated in Cork, home to a leading academic society within human gut health.
PrecisionBiotics Group had a revenue of €13.4 million in 2019 with solid margins and a positive free cash flow.
CEO and co-founder of PrecisionBiotics Group Barry Kiely said by becoming a part of Novozymes, they will get a global presence across businesses and new capabilities within science and discovery of new strains.
"This will help us to grow by developing new products where we can combine enzymes and probiotics,” he said.
