(Alliance News) - Farmacosmo Spa and Laboratorio Farmaceutico Erfo Spa announced Thursday that they have signed a binding agreement to acquire 100% of the share capital of FRCM1 Srl owned by MP Holding Srl traceable to Maria Palomba. The company is the owner of the FarmaWoW Portal, an e-commerce specialized in the Pharma&Beauty sectors with more than 43,000 references in its catalog.

The company reported revenues of about EUR750,000 in the first six months of the year, Ebitda of about 3 percent and NFP essentially zero.

The transaction involves the sale of 100 percent of the capital of FRCM1 for a consideration of EUR310,000, subject to

the application of a price adjustment mechanism in favor of the buyer based on the NFP on the closing date expected by the essential deadline of September 30.

The stake will be divided as follows: 51 percent to Farmacosmo, which will hold control, and 49 percent to Erfo. The company will be administered by a three-member board of directors, two of which will be designated by the shareholder Farmacosmo, including the CEO, and one by Erfo, chairman of the board.

Fabio de Concilio, president and CEO of Farmacosmo said, "Thanks to Erfo's vertical expertise in the nutraceutical sector, together with ours in developing the online portal, we will be able to expand the current offer by dedicating ample space to nutraceutical products. FarmaWoW thus becomes the group's fifth proprietary portal, after farmacosmo.it - perfumeriaweb.com - pharmasi.it - baucosmesi.it - thanks to which we will have the opportunity to enter the world of nutraceuticals, a sector of strong interest to the group consistent with what was represented during the listing phase, through a specialized partner and to their private label."

Alessandro Cutè, president and CEO of Erfo said, "The transaction represents an important tool for Erfo to increase its value proposition. At the end of 2021, we launched the Medical Division line to systematize our R&D know-how and production capacity to serve innovative nutraceutical products focused on different therapeutic areas and marketed through a network of ISFs. Today, thanks to FarmaWow, our Medical line product portfolio will have a preferred online sales channel to reach a large number of loyal customers. With Farmacosmo's established experience in online commerce, we are confident that we can enhance the capabilities of our laboratories and production lines. Farmacosmo's expertise, which is highly complementary and synergistic with our own, is a great added value for us towards an increasingly integrated and multichannel offering."

On Wednesday, Farmacosmo closed flat at EUR0.96 per share and Laboratorio Farmaceutico Erfo unchanged at EUR1.01 per share.

By Chiara Bruschi, Alliance News reporter

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