Smart for Life Announces Letter of Intent to Acquire Premier North American Nutraceuticals Company
September 29 2022 - 9:15AM
Smart for Life, Inc. (Nasdaq: SMFL) (“Smart for Life” or the
“Company”), a high growth global leader in the Health &
Wellness sector marketing and manufacturing nutritional foods and
supplements worldwide, today announced that it has executed a
non-binding Letter of Intent (LOI) to acquire a premier eCommerce
nutraceuticals company with operations in North America.
“We continue to execute on our aggressive
M&A strategy, as illustrated by our latest LOI, which would
represent our largest acquisition to date,” said A.J. Cervantes,
Jr., the Company’s Chairman. “The target business has established a
fantastic brand in the health and wellness sector and should be
highly synergistic with our existing distribution channels and
in-house manufacturing capabilities. Additionally, they achieved
over $15 million in sales for the trailing twelve months and have
been consistently profitable.”
Darren Minton, CEO of Smart for Life, further
noted, “Our management team has stated publicly that we are
continuing to implement our high-growth acquisition strategy, and
this is another example that we are doing exactly that. Considering
the anticipated operating efficiencies to be gained by combining
our operations, we expect this transaction will be highly
accretive. Moreover, we believe the proposed terms are quite
favorable to our shareholders, continuing our track record of
acquiring complementary businesses at attractive valuations,
especially as we grow toward our stated goal of $100 million in
revenue in the next 12 months.”
Smart for Life recently closed its fifth
acquisition of Ceautamed Worldwide LLC, owner of the Greens First
brand in July. This most recent LOI would represent Smart for
Life’s sixth acquisition to date. Completion of the acquisition is
subject to a number of conditions including the entry into
definitive documentation, successful results from our diligence
investigation and obtaining financing to consummate the
acquisition.
Mr. Minton concluded, “Despite the unprecedented
worldwide financial market conditions, it is our opinion that our
proactive acquisition strategy, targeting accretive cash flow
positive companies, combined with strategies to enhance organic
growth, represents the best path to drive long-term value for
shareholders.”
About Smart for Life, Inc.
Smart for Life, Inc. (Nasdaq: SMFL) is a high
growth global leader in the Health & Wellness sector, marketing
and manufacturing nutritional foods and supplements worldwide.
Structured as a publicly held international holding company, the
Company is executing a Buy-and-Build strategy with serial accretive
acquisitions creating a vertically integrated company with an
objective of aggregating companies generating a minimum of $300
million in revenues within the next thirty-six months. To drive
growth and earnings, Smart for Life is developing proprietary
products as well as acquiring other profitable companies,
encompassing brands, manufacturing and distribution channels. The
Company currently operates five subsidiaries including Doctors
Scientific Organica, Nexus Offers, Bonne Santé Natural
Manufacturing, GSP Nutrition/Sports Illustrated Nutrition and
Ceautamed Worldwide/Greens First. For more information about Smart
for Life, please visit: www.smartforlifecorp.com.
Video regarding the Company’s manufacturing
facility at Bonne Santé Natural Manufacturing is available at:
www.bonnesantemanufacturing.com/video.
Investor material and a Fact Sheet with
additional information about Smart for Life is available at:
www.smartforlifecorp.com/investor-center.
Forward-Looking Statements
This press release may contain information about
our views of future expectations, plans and prospects that
constitute forward-looking statements. All forward-looking
statements are based on management’s beliefs, assumptions and
expectations of Smart for Life’s future economic performance,
taking into account the information currently available to it.
These statements are not statements of historical fact. Although
Smart for Life believes the expectations reflected in such
forward-looking statements are based on reasonable assumptions, it
can give no assurance that its expectations will be attained. Smart
for Life does not undertake any duty to update any statements
contained herein (including any forward-looking statements), except
as required by law. No assurances can be made that Smart for Life
will successfully acquire its acquisition targets. Forward-looking
statements are subject to a number of factors, risks and
uncertainties, some of which are not currently known to us, that
may cause Smart for Life’s actual results, performance or financial
condition to be materially different from the expectations of
future results, performance or financial position. Actual results
may differ materially from the expectations discussed in
forward-looking statements. Factors that could cause actual results
to differ materially from expectations include general industry
considerations, regulatory changes, changes in local or national
economic conditions and other risks set forth in “Risk Factors”
included in our filings with the Securities and Exchange
Commission.
Investor Relations Contact
Crescendo Communications, LLCTel: (212)
671-1021SMFL@crescendo-ir.com
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