BASF to invest €664 million in omega-3 leadership
BASF has announced that it plans to acquire Pronova BioPharma of Norway, a company with expertise in…BASF has announced that it plans to acquire Pronova BioPharma of Norway, a company with expertise in the research, development,and manufacturing of omega-3 fatty acids.
BASF has reached an agreement with Pronova to make a recommended voluntary public takeover offer to Pronova’s shareholders, and will offer to pay NOK12.50 in cash for each Pronova share, valuing the acquisition at NOK4,845 million/ €664 million.
The offer corresponds to a premium of 24% above the volume-weighted average share price for Pronova’s shares in the six months prior to announcement of the public takeover offer.
“The intended acquisition will significantly strengthen our position in the fast growing and highly profitable market for omega-3 fatty acids,” said Michael Heinz, member of the board of executive directors of BASF SE and responsible for the Performance Products segment, which includes the Nutrition & Health division. “We want to combine the global market reach and experience of BASF with the know-how of Pronova in omega-3 fatty acid.,”
Highly concentrated omega-3 fatty acids are a globally growing market, d riven by an increasing consumer awareness of omega-3 fatty acids health benefits, said BASF. With the acquisition of Pronova, BASF believes that it will immediately achieve a leading position in the global market for omega-3 fatty acids.
Pronova’s active pharmaceutical ingredients are used to treat cardiovascular diseases such as post-myocardial infarction. In nutritional applications, including dietary supplements, there is a strong body of evidence supporting a broad range of positive health benefits through omega-3 fatty acids, for example, in the areas of cognitive development or heart health.
