- Manuka Health signs agreement for sale of company to Pacific Equity Partners (PEP)
- Next phase of growth to focus on key global markets and new product categories
Leading food, wellbeing and natural healthcare company Manuka Health New Zealand Limited (“Manuka Health” or “the company”) is pleased to announce the sale of the company to funds advised by Pacific Equity Partners (PEP) subject to Overseas Investment Office (OIO) approval.
The company was founded in 2006 in response to the growing demand for premium manuka honey and its wide application of health benefits including dietary supplements, gourmet foods, personal care and wound care products. The next phase for the business was to seek a partner with the experience and resources to assist the company in delivering on its global growth aspirations.
PEP has a wealth of experience investing in and growing consumer products businesses including Griffin's Foods, Tegel, Frucor and Peter's Ice Cream and has been working with New Zealand companies for nearly two decades.
The acquisition of Manuka Health by PEP allows the company to continue pursuing key growth regions including China, USA, Germany, Australia, New Zealand and Japan while still expanding its presence in over 40 other countries. The company is also aggressively pursuing growth through product category expansion across wound and personal care.
With strong growth forecast in the global natural healthcare market and manuka honey products, the company has also developed a strategy to increase supply. The company’s global growth plans will ultimately support the New Zealand manuka honey industry and create additional jobs in towns where Manuka Health has operations.
Kerry Paul, chief executive and founder of Manuka Health said:
"We are proud of the development of Manuka Health within such a short space of time. It’s a credit to our 100 talented employees, distributors and shareholders. Our products are now sold in 50 countries, and globally recognised for their quality, New Zealand origins and proven health benefits. For the next evolution of the business, we felt it was important to find an experienced partner with a successful track record investing in consumer product companies.
As we embark on this next phase, we believe PEP with its extensive experience nurturing New Zealand brands is the ideal partner to provide financial input to boost R&D, including clinical trials and help us establish our suite of natural healthcare products globally.
While growth opportunities across New Zealand and Australia continue to be a priority, greater capital access will also allow us to accelerate our international strategy across key regions such as China and the United States. Our long term goal is to see Manuka Health’s great local and innovative products becoming a household brand worldwide."
Pacific Equity Partners managing director, David Brown said:
"Manuka Health is an exceptional business in the high growth natural healthcare sector which is underpinned by a number of compelling macro trends including increasing nutritional health awareness and a rise in consumer affluence.
PEP has a strong track record of investing in consumer products businesses and supporting local management teams. The existing global footprint combined with our expertise in this sector represents a significant opportunity to widen distribution networks and further penetrate existing markets.
Kerry and his team have built an exceptional business with an innovative and forward thinking approach over the past ten years and we look forward to working with the team to build on the impressive results they have already achieved."
PwC and Chapman Tripp were advisors to Manuka Health. PEP was advised by UBS and Russell McVeagh.
For further information contact:
Salt & Pepper PR on behalf of Manuka Health
+64 21 667 873
Domestique Consulting on behalf of Pacific Equity Partners
+61 438 954 729