Supplements and health testing company to be taken private by consumer-focused investment giant.
Personalized health and wellness company Thorne HealthTech (NASDAQ: THRN) has reached a definitive agreement with consumer-focused investment firm L Catterton, for the acquisition of all outstanding shares of common stock. The acquisition will be carried out through a tender offer at a price of $10.20 per share in cash, with a transaction value of approximately $680 million.
Thorne specializes in supplements and testing solutions designed to deliver personalized health and wellness approaches, including biological age tests and healthy aging supplements. The company is the sole supplement manufacturer collaborating with Mayo Clinic on health and wellness research.
“This transaction is an excellent outcome for all of our stakeholders and marks the beginning of an exciting new chapter for Thorne,” said Paul Jacobson, CEO of Thorne. “L Catterton has an impressive track record of fostering the growth and success of leading global consumer brands.”
‘Significant premium’ for stockholders
Thorne says the price per share represents a significant premium of 94% over the unaffected closing share price on July 20, 2023. The acquisition has gained approval from Thorne’s independent Special Committee and Board of Directors, both of which have endorsed the agreement and encouraged all stockholders to participate in the tender offer.
“We are very pleased to have reached an agreement with L Catterton, which offers immediate liquidity at a significant premium to our stockholders,” said Sarah Kauss, a member of Thorne’s Board of Directors and head of the Special Committee.
L Catterton manages around $34 billion in equity capital and has made substantial investments in numerous globally recognized consumer brands. The firm was recently revealed to have incubated and backed consumer longevity company Tally Health.
“We have admired Thorne for many years given its uncompromising approach to science and innovation as well as its commitment to transforming consumers’ lives and approach to health and wellness,” said Marc Magliacano from L Catterton’s Flagship Fund. “As one of the pioneers of the wellness movement, Thorne continues to lead by example and is on the precipice of breakthrough products and technologies that will allow consumers to significantly extend their healthspans through personalized wellness programs developed by Thorne’s proprietary dataset and protocols.”
The completion of the transaction is anticipated in the fourth quarter of 2023, subject to meeting customary closing conditions and regulatory approvals. Once finalized, Thorne will transition to private ownership, leading to the delisting of its common stock from public markets.
