EQT Mid Market invests in Fertin Pharma A/S

  • EQT Mid Market acquires Fertin Pharma, the world’s largest independent developer and manufacturer of medicated chewing gum
  • The founding Bagger-Sørensen family will reinvest and enter into a partnership with EQT Mid Market with the view to further develop and accelerate the growth of Fertin Pharma
  • The management team of Fertin Pharma, led by CEO Søren Birn, will remain with the Company and invest alongside the Bagger-Sørensen family and EQT Mid Market

EQT Mid Market has agreed to acquire Fertin Pharma (“Fertin Pharma” or the “Company”) from the Bagger-Sørensen family. The Bagger-Sørensen family will reinvest part of their proceeds and will following the transaction own 30% of the Company.

The Company is the leading independent B2B developer and manufacturer of medicated chewing gum, primarily within Nicotine Replacement Therapy (“NRT”), a pharmaceutical product used for withdrawal management in the process of tobacco cessation. Furthermore, Fertin develops pharmaceutical chewing gum with different APIs (MediChew) and nutraceutical chewing gum products (Nutraceuticals).

Rikke Kjær Nielsen, Director at EQT Partners and Investment Advisor to EQT Mid Market, said: “We are truly impressed by Fertin Pharma’s strong management team and its unparalleled market position based on a unique combination of more than 100 years of chewing gum heritage, profound nicotine knowledge and strong pharma manufacturing capabilities. Fertin is a global market leader within NRT gum with a strong financial track record operating in one of EQT’s core sectors and core geographies. As such we see an excellent match with EQT, which is further underpinned by the EQT track record in healthcare investments and experience in supporting companies to drive growth across different avenues. We are therefore extremely pleased about the partnership with the founding family to jointly develop Fertin into an even stronger company”.

Søren Birn, CEO of Fertin Pharma, said: “Fertin has developed a global stronghold with its leading NRT gum product portfolio and realized above market growth for several years.We are very pleased to have EQT as our new majority owner and partner in this exciting phase for Fertin. We share the same vision and ambitions for Fertin’s great potential. Under the new partnership, we look very much forward to  continue growing the core business while exploring new avenues of growth for the Company”.

Steen and Claus Bagger-Sørensen, main shareholders of Fertin Pharma, said: “We are pleased to have EQT as the new majority owner of Fertin, and we believe they are a great fit with Fertin, both in terms of core values, visions and long-term ambitions for the Company. Furthermore, we are excited about entering a partnership with them, and we look forward to working alongside EQT and contributing knowledge, experience and history”.  

Financial terms of the transaction are not disclosed.

Contacts:

Rikke Kjær Nielsen at EQT Partners, Investment Advisor to EQT Mid Market, +45 4021 1216

Kerstin Danasten, EQT Press Officer, +46 8 506 55 334

About the Bagger-Sørensen family

The Bagger-Sørensen family founded Vejle Caramel og Tablet Fabrik in 1915 and launched the Dandy chewing gum brand in 1939. In 1978, the Swedish company Fertin, known for their V6 chewing gum, was acquired by the Bagger-Sørensen Group. Following the acquisition the company was renamed Fertin Pharma and in 2000 Fertin Pharma launched the world’s first coated nicotine gum. Today, the family brothers Steen and Claus Bagger-Sørensen, along with the family fund, comprise the owners of Fertin Pharma prior to the transaction.

About EQT

EQT is a leading alternative investments firm with approximately EUR 31 billion in raised capital. EQT Funds have portfolio companies in Europe, Asia and the US with total sales of more than EUR 15 billion and approximately 100,000 employees. EQT works with portfolio companies to achieve sustainable growth, operational excellence and market leadership.

More info: www.eqtpartners.com

About Fertin Pharma

Fertin Pharma A/S is a family-owned company based in Vejle, Denmark, with additional facilities in India. Fertin is the world’s leading B2B developer/manufacturer of medicated chewing gum, specialising in Nicotine Replacement Therapy gum. Fertin has 715 employees and an estimated 2016 revenue of DKK 851m and EBITDA of DKK 250m.

More info: www.fertin.com