Atrium plans to sell its actives and chemicals division
specialty chemicals division in order to focus its energies on the
nutritional supplements sector.
The Canada-based company intends to divest its actives and chemicals business despite reporting a 15.4 percent increase in division sales to $107m for the first six months of the year.
The sale of the division, which currently manufactures over 2,000 ingredients and specialty chemicals, will help Atrium fund its expansion plans in the dietary supplements sector.
The company intends to become a world leader in the health and nutrition market by extending its distribution network and completing acquisitions in North America and Europe.
"Atrium intends to play the role of a consolidator in this highly fragmented sector, through energetically pursuing its successful acquisitions program," said Atrium CEO Pierre Fitzgibbon.
During the summer Atrium hinted at its intentions by acquiring the Germany-based nutritional supplements specialist Mucos Emulsions for €127.5m ($174.5m).
The company also expects to achieve significant organic growth in the nutritional supplements market, which Fitzgibbon said had high potential "The aging of the population and growing interest of consumers for alternative solutions to maintain good health will be two powerful drivers for this market in the future," added the CEO.
Atrium is also considering entrance into the beauty supplements market, which has recently grown significantly as consumers look to achieve the twin goals of health and beauty.
In recent years Atrium has developed fast, evolving from a simple biotechnology company into a multi-product manufacturer.
Formerly known as Atrium Biotechnologies the company changed its name to Atrium Innovations to reflect this evolution, which now sees the company divesting its active ingredients and specialty chemicals division.
Fitzgibbon said the division had grown into a business with the management and resources to operate successfully as an independent entity.
The speed of Atrium's development is reflected in its financial results, with sales up by 13.8 percent to $150.3m for the first six months of the year while net earnings increased 15.4 percent to $15.2m. Earlier in the week Atrium announced the appointment of Claude Lamoureux to the Company's Board of Directors.
Lamoureux was the President and CEO of the Ontario Teachers' Pension Plan (OTPP) until December this year and brings his expertise in corporate governance to the board, said the company.
