FERTIN PHARMA A S

LAUSANNE, --(BUSINESS WIRE)--Jul. 1, 2021-- (PMI) (NYSE: PM) announced today it has entered into an agreement to acquire (Fertin Pharma), a leading developer and manufacturer of innovative pharmaceutical and well-being products based on oral and intra-oral delivery systems, for an enterprise value of (approximately ). “The acquisition of Fertin Pharma will be a significant step forward on our journey toward delivering a smoke-free future—enhancing our smoke-free portfolio, notably in modern oral, and accelerating our progress in beyond nicotine,” stated , Chief Executive Officer. ” Fertin Pharma is a privately held company with more than 850 employees and operations in , , and. It is a leading contract development and manufacturing organization (CDMO), specializing in the research, development and production of gums, pouches, liquefiable tablets, and other solid oral systems for the delivery of active ingredients, including nicotine, where it is a leading producer of Nicotine Replacement Therapy (NRT) solutions. The company and its employees bring significant scientific experience and know-how to the development of innovative solutions, driving above-category growth across new and existing business areas. The transaction value represents a multiple of around 15 times Fertin Pharma’s 2020 EBITDA. PMI will fund the transaction with existing cash and expects it to close in the fourth quarter of 2021, subject to approval by the appropriate regulatory authorities. PMI expects the impact of the acquisition on its full-year 2021 adjusted diluted EPS to be immaterial. , CEO of Fertin Pharma, commented: “Fertin Pharma has been on a fantastic journey with EQT and the Bagger-Sørensen family as owners. An ambition that perfectly matches that of Fertin Pharma, namely to enable people to live healthier lives. * Leverage on Fertin’s oral delivery platforms to access a range of promising technologies—complementary to PMI’s inhalation expertise—for scientifically substantiated botanicals and other selfcare wellness products, including over-the-counter solutions and supplements that improve people’s lives in areas such as sleep, energy, calm, and focus. Earlier this year, PMI announced its goal to generate more than 50 percent of its total net revenues from smoke-free products by 2025. Statements in this press release that are not strictly historical, including statements regarding the proposed acquisition of Fertin Pharma, the expected timetable for completing the transaction, future financial and operating results, benefits and synergies of the transaction, future opportunities for the combined businesses and any other statements regarding events or developments that we believe or anticipate will or may occur in the future, may be “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995, and involve a number of risks and uncertainties. There are a number of important factors that could cause actual events to differ materially from those suggested or indicated by such forward-looking statements and you should not place undue reliance on any such forward-looking statements. These factors include risks and uncertainties related to, among other things: (1) the inability to consummate the transaction in a timely manner; (2) the failure of the transaction to close for any other reason; (3) the possibility that the integration of Fertin Pharma and operations with those of PMI may be more difficult and/or take longer than anticipated, and may not accelerate PMI’s desired entry into additional smoke-free and beyond nicotine platforms as quickly as anticipated; (4) the possibility that Fertin Pharma’s integration into PMI may be more costly than anticipated and may have unanticipated adverse results relating Fertin Pharma or PMI’s existing businesses; (5) the effect of the announcement of the transaction on PMI’s, Fertin Pharma or the combined company’s respective business relationships, operating results and business generally; (6) risks associated with third party contracts containing consent and/or other provisions that may be triggered by the proposed transaction; (7) negative effects of the announcement or the consummation of the transaction on the market price of PMI’s common stock; (8) the ability of PMI to retain and hire key personnel of Fertin Pharma; and (9) other factors that may affect future results of the combined company described in the section entitled “Risk Factors” in PMI’s Annual Report on Form 10-K for the fiscal year ended , PMI’s Form 10-Q for the quarter ended , and other filings of PMI with the. for sale under license in the , where these products have received marketing authorizations from the (FDA) under the premarket tobacco product application (PMTA) pathway; the FDA has also authorized the marketing of a version of and its consumables as a Modified Risk Tobacco Product (MRTP), finding that an exposure modification order for these products is appropriate to promote the public health. PMI's smoke-free product portfolio includes heat-not-burn and nicotine-containing vapor products. 0 million adults around the world have already switched to and stopped smoking. For more information, please visit and