TORONTO — Freshii Inc. says it has signed a deal to buy a majority stake in health and wellness product retailer Natura Market ECommerce Inc., with rights to acquire the rest of the business through the first quarter of 2025.
The Toronto-based company says it will pay $5.7 million plus potential performance incentives in return for the initial 60 per cent stake.
It says the price for the remaining shares will be based on the company’s earnings before interest, taxes, depreciation, and amortization for the relevant period.
Freshii, which operates restaurants and sells nutritional supplement products in-store and online, says the deal marks a milestone in its expansion into the e-commerce wellness market.
Natura Market, which recorded over $19 million in sales over the last 12 months and has no debt, will be run as a standalone business unit with the company’s founder, Shakhzod Khabibov, staying on as president.
Matthew Corrin, founder and CEO of Freshii, says Natura Market will make an immediate positive impact on Freshii’s overall business.
“Natura Market is a rapidly growing, self-funded and founder-led online retailer with an aligned mission of making on-trend, healthy products available at scale across Canada,” he said in a statement.
“The way people access health and wellness is evolving and the acquisition of Natura Market ensures that Freshii is well-positioned to meet the next generation of customers where they are.
This report by The Canadian Press was first published Oct. 14, 2021.
Companies in this story: (TSX:FRII)
The Canadian Press