LONDON: Venture Life Group (AIM: VLG), a leading player in consumer healthcare innovation, has entered into a binding agreement with Italy-based contract development and manufacturing organization (CDMO) BioDue S.p.A. for the sale of its CDMO business and certain non-core products.
Under the agreement, BioDue—a portfolio company of The Riverside Group—will acquire 100% of the issued share capital of Biokosmes SRL and Venture Life Manufacturing AB, which owns Kullgren Holdings AB and Rolf Kullgren AB (collectively the “CDMO Business”). Venture Life will also divest select peripheral products and associated commercial agreements (collectively the “Target Assets”).
The €62 million ($53 million) sale is structured on a cash-free, debt-free basis and is subject to regulatory approval under foreign direct investment regimes in Italy and Sweden.
The sale is expected to provide Venture Life with significant financial resources to expand its core brands, including Balance Activ, Health & Her/Him, Lift, Earol, Pomi-T, and Gelclair. The company plans to reinvest the proceeds into brand growth and acquisitions across the UK, US, and Europe while reducing its debt under its Revolving Credit Facility (RCF).
The transaction will allow Venture Life to streamline its operations, moving away from capital-intensive manufacturing. The company aims to focus on consumer healthcare products that promote proactive, healthy longevity through data-driven insights, digital integration, and omnichannel expansion.
Following the sale, the company will retain key strategic partnerships, including its collaboration with Bayer Consumer Care AG.
Manufacturing and Transitional Agreements
Venture Life will enter a 10-year development and manufacturing agreement with BioDue to ensure continuity for its products. Additionally, a two-way transitional services agreement will remain in effect until Dec. 31, 2026.
Following completion, the company will retain offices in the UK, Spain, and the US. While BioDue will manage certain technical files for manufacturing, Venture Life will maintain global, royalty-free rights.
Financial and Leadership Changes
For fiscal year 2024, the Target Assets generated £20.5 million in revenue, £4.9 million in adjusted EBITDA, and £0.3 million in profit before tax. Venture Life expects a one-time profit of £24.1 million from the sale.
Gianluca Braguti, a director at Venture Life since 2014, will step down upon completion of the deal but will remain with Biokosmes.
The company plans to release its full-year 2024 financial results on June 19, 2025.
“This sale represents a significant milestone for Venture Life, allowing us to simplify our business structure and focus on our power brands,” said CEO Jerry Randall. “With greater financial resources, we can drive growth, pursue earnings-accretive acquisitions, and strengthen our position in the consumer healthcare space.”
Randall also acknowledged the contributions of Biokosmes and Gnesta employees and expressed optimism about the continued partnership with BioDue.