TORONTO, Feb. 28,
2025 /CNW/ - Richards Packaging Income Fund
(TSX: RPI.UN) (the "Fund") announces today two strategic
acquisitions to add to its healthcare line up.
The Fund, through its subsidiary, Clarion Medical Technologies
Inc., has acquired all of the outstanding shares of National Dental
Inc. ("National Dental"), a leading Canadian provider of high-tech
laser and diagnostic devices to the dental care industry. The
purchase price of $10.0 million was
financed by a $9.7 million draw down
on the revolving credit and a $0.3
million holdback from the vendors. This purchase price is
subject to additional consideration contingent on National Dental's
future earnings through 2026 or 2027. The acquisition is expected
to be accretive to earnings in 2025.
"We are pleased to announce the acquisition of National Dental,
which adds a third major market vertical to our private clinic
medical device distribution business, alongside aesthetics and
vision. We believe National Dental's focus on innovative laser and
imaging devices will elevate the standard of dental patient care
and we are confident in our ability to support their growth targets
through our Clarion Medical Technologies platform." commented
John Glynn, President of Richards
Packaging
"National Dental is thrilled to become part of the Clarion
Medical Technologies team. The synergy between our companies
presents exciting growth opportunities, and we are invigorated by
Clarion's vision for the future. With over 30 years of experience
supporting dentists with cutting-edge technology, we believe our
philosophies align perfectly and look forward to working with their
talented team.", commented Neil and Cliff
Magneson, founders of National Dental Inc.
The Fund, through its subsidiary Richards Packaging Holdings 2
Inc., has also acquired all of the outstanding shares of HL
Production SA ("HL Production"), the Swiss based global owner and
distributor of the World PRP® platelet-rich plasma
("PRP") system to the healthcare industry. The purchase price of
CHF2.35 million ($3.76 million) was financed by a $3.7 million draw down on the revolving credit
and a CHF0.05 million ($0.1 million) holdback from the vendors. The
acquisition is expected to be accretive to earnings in 2025.
"We are pleased to announce the acquisition of HL Production,
which has been a key supplier to our medical devices business in
Canada for many years. This
acquisition brings us global ownership of the
WorldPRP® brand and will bolster the ongoing growth
of our OEM Strategy alongside our organically developed brand,
Luvo. PRP treatments are well established in orthopedics and
aesthetics and represent a $700M USD
market worldwide. We are confident in supporting the growth of
WorldPRP® through international distribution
partners in the coming years." commented John Glynn, President of Richards Packaging.
"We are delighted that the WorldPRP® product and
brand we have developed is going to be in capable hands. We wish
the Richards team the best of luck as they grow into the future."
commented Dr. Ed Broussalian, Chief
Executive Officer of HL Production SA."
NewPoint Capital Partners Inc. acted as M&A advisor to the
Fund on both transactions.
About Richards Packaging Income Fund
The Fund owns Richards Packaging Inc. ("Richards Packaging"),
which since 1912 has served a wide customer base throughout
North America comprised of over
18,000 regional food, beverage, healthcare, cosmetics, and other
enterprises.
About National Dental Inc.
National Dental Inc. is a leading Canadian provider of high-tech
laser and diagnostic devices to the dental care industry. The
company specializes in bringing to market cutting-edge innovations
in lasers, cavity prevention products, intraoral scanners and
dynamic navigation systems along with unparalleled education, and
comprehensive implementation support to its dental customer
practitioners.
About HL Production SA
H L Production SA is the Swiss based global owner and
distributor of the World PRP® platelet-rich plasma
system to the healthcare industry. The system is widely acclaimed
by its users and is becoming the worldwide reference for quality
and efficiency.
SOURCE Richards Packaging Inc.
