Abbott Laboratories has entered into an agreement to acquire EAS, a US nutrition leader based in Golden, Colo. Under the terms of the agreement, Abbott will acquire EAS for approximately $320 million in a cash-for-stock transaction.
EAS was founded in 1990 by Bill Phillips, author of the popular nutrition book Body for Life, and was sold to North Castle Partners - a private equity firm specializing in nutrition and healthy living - in 1999. The company has more than 260 employees. EAS's portfolio of recognized brands includes EAS, AdvantEdge, Myoplex and Body for Life.
EAS's AdvantEdge brand, which targets consumers focused on weight loss, weight management and balanced nutrition; the Myoplex brand, which targets active lifestyle consumers seeking to improve their performance in sports and other physical activities, are popular brands in US. EAS also recently launched a line of nutrition bars and drinks based on the Body for Life philosophy, release from Abbott said.
The acquisition of EAS complements Abbott's long-standing presence in general and specialized nutrition products for infants, children and adults - housed in its Columbus, Ohio-based Ross Products Division. Abbott had acquired ZonePerfect Nutrition Co. in 2003, the release says.
"This acquisition expands Abbott's position in the rapidly growing Healthy Living Category," said Gary E McCullough, senior vice president for Abbott's Ross Products Division. "EAS's strong brands, broad distribution and innovative products and processes strategically fit with our commitment to offering consumers great nutrition choices based on solid science," he added.
"We are pleased to join forces with Abbott - a company that shares our long-standing commitment to science-based, innovative products that improve people's lives," said Monty Sharma, EAS president and CEO." Abbott advances leading-edge science and technologies through world-class marketing and sales execution. Our complementary skills and competencies - combined with our shared mission - make this an ideal partnership for the future," he concluded.
The transaction is not expected to have an impact on Abbott's 2004 on-going earnings per share guidance. The transaction is expected to result in acquisition-related one-time charges in the fourth quarter of 2004.The transaction is subject to customary closing conditions, including government approvals, and is expected to close during the fourth quarter of 2004, the release added.