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Glanbia To Buy Weight Management Brand SlimFast For $350 Mln - Quick Facts

Glanbia plc (GLB.L), a nutrition group, announced Thursday that it has signed an agreement to acquire consumer brand SlimFast and other brands for $350 million

The agreement is with the owners of KSF Holdings LLP and HNS Intermediate Corporation who collectively own SlimFast and other brands.

Glanbia plans to operate SlimFast within its Performance Nutrition segment.

It is anticipated that the transaction will close before the end of 2018 subject to the customary completion conditions, agreed closing accounts and regulatory approval.

The transaction will be fully financed by Glanbia's available banking facilities and it is expected to be accretive to earnings per share from 2019 onwards.

SlimFast is a weight management and health & wellness brand family distributed primarily in the food, drug, mass and club or FDMC channel in the US and UK. In 2017, SlimFast delivered $212 million net sales, adjusted EBITDA of $24 million and, a net loss before tax of $12 million.

The gross assets of SlimFast at its 2017 financial year end were $136 million.

Siobhán Talbot, Group Managing Director of Glanbia said, "SlimFast is an established and enduring brand and, along with nutritional supplements brands "Healthy Delights" and "Nu-Therapy", complements our existing portfolio targeting lifestyle consumers. It plays to global consumer trends focused on convenient formats and snacking. The transaction is in line with our strategic ambition to extend the reach of our Glanbia Performance Nutrition portfolio to related consumer needs."

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