The Uriach family business negotiates the entry of a partner to obtain financing and carry out the largest purchase in its history in France and accelerate its European growth, as announced on Thursday by the CEO, Oriol Segarra, when presenting the results of the last year .
The self-care health products company, which has brands such as Biodramina, Aquilea, Utabon or Aero-red, is analyzing a range of 2-3 French firms to define which one to buy. Due to the size of the operation, it will require the support of a fund or family office that, in exchange for the money contributed, would enter the group with 20%-30% of the shareholders at most. The idea is to close the purchase, which is already being negotiated under these terms, this year or at the beginning of 2024. “We continue working to grow in Europe. France is the last of the big markets that we have left”, Segarra has argued.
The company that is acquired will exceed 50 million invoiced, surpassing the largest operation that it had done so far, that of the German Sidroga. It is necessary to achieve the goal of reaching a turnover of 450-500 million euros in 2025.
For the moment, the company closed 2022 with a turnover of 272 million euros, 16% more, and a gross profit (ebitda) of 40 million, 5% more. The business in Spain reached 72 million euros, over 7% more. “2022 has not been an easy year at all,” Segarra has acknowledged despite the general double-digit growth. It has been marked by inflation, the post-pandemic, war and certain supply difficulties. The latter meant the loss of about 5 million in sales. “We have a resilient business that allows us to cope with these situations,” he said.
By 2023, the forecast is to reach 310 million euros in invoices, with a rise of 15%, and climb to 45 million euros in ebitda.
Management professionalization and internationalization with the purchase of competitors have been the key to growth over the years. Already with seven operations behind it, last year it took over the Romanian Medimow and the Spanish HuPaVir, solutions for the human papilloma virus, “a product that is growing a lot.”
Looking ahead, “an IPO is not on the map”, at least within five years. “But a company that grows at this rate, there will come a time when things will have to be considered, or if a partner enters, consider how it comes out,” said Segarra. Uriach sells in 70 countries and has a direct presence in Spain, Italy, Portugal, Germany, Austria, Switzerland and Romania.
