Coloplast completes the acquisition of Atos Medical
Coloplast has now completed the acquisition of Atos Medical announced on November 8, 2021 after receiving approval from relevant authorities.
All terms remain as stated in Coloplast’s stock exchange announcement no. 9/2021 regarding the acquisition of Atos Medical. Financial guidance for FY 2021/22 was updated to include Atos Medical in connection with Q1 2021/22 results announced on January 25, 2022, and is reiterated today:
- Organic revenue growth expected around 7% at constant exchange rates.
- Reported growth in DKK excluding Atos Medical is expected to be around 9% from previously around 8% due to FX movements. The impact of the Atos Medical acquisition on reported growth is expected to be around 6%-points (8 months impact). In total, reported growth is expected to be around 15%.
- Reported EBIT margin before special items is expected to be around 31% from previously around 32%, due to around DKK 200 million in amortization charges related to the Atos Medical acquisition (8 months impact).
- Reported EBIT margin after special items is expected to be around 30%, impacted by special items of around DKK 150 million, related to one-off transaction and integration costs related to Atos Medical.
- CAPEX expected to be around DKK 1.3 billion, from previously DKK 1.2 billion, the increase reflects the impact from Atos Medical capex and integration capex related to the acquisition.
- Effective tax rate guidance for FY 2021/22 is expected to be around 23%, from previously 22-23%, reflecting impact from the Atos Medical acquisition.
The company’s long-term guidance of 7-9% organic growth p.a. and a reported EBIT margin of more than 30% is unchanged.
Atos Medical – a new chronic category for Coloplast
With the completion of the transaction, Coloplast adds a new chronic business segment – ENT & Respiratory Care, which will be run as a separate strategic unit, operating on shared Coloplast infrastructure.
‘Today is a historic day as we have completed the acquisition of Atos Medical, the largest acquisition in our company’s history. A warm welcome to the Coloplast family to the Atos Medical and Tracoe teams. I look forward to the growth journey ahead of us and to helping make life easier for more people living with a neck stoma,’ says Kristian Villumsen, President & CEO of Coloplast.
Effective as of March 1st, Britt Meelby Jensen has decided to step down from her position as CEO of Atos Medical. Britt Meelby Jensen will continue as an advisor to the company. Caroline Vagner Rosenstand has been appointed Britt Meelby Jensen’s successor. Caroline Vagner Rosenstand joined Coloplast in 2015 and has held several strategic and commercial leadership roles across the company including VP Corporate Strategy and M&A of which two years were based in the US subsidiary, and most recently VP Emerging Markets CEEI Region. Prior to joining Coloplast, Caroline Vagner Rosenstand worked for 8 years at the private equity firm Axcel.
‘I would like to thank Britt Meelby Jensen for her outstanding leadership and contribution to Atos Medical over the last three years. Under her leadership the company has evolved greatly, and I am very impressed with the results that Britt Meelby Jensen and her team have created,’ says Kristian Villumsen.
‘It has been a great honour to be part of the journey at Atos Medical and I am proud of the strong results that the team has created to make life easier for people living with a neck stoma. I would like to thank all my colleagues for their strong contributions. I am leaving Atos Medical in good shape, and I am confident that Atos can leverage the expertise and capabilities of Coloplast to secure a bright future for our customers, colleagues, and stakeholders. I look forward to following from the sidelines as I pursue new career opportunities,’ says Britt Meelby Jensen.
For more information, please see the stock exchange announcement regarding the acquisition of Atos Medical from November 8, 2021 (Stock exchange announcement no 9/2021). For updated financial assumptions related to the acquisition of Atos Medical, please see the Q1 2021/22 earnings stock exchange announcement from January 25, 2022 (Q1 21/22 earnings release). www.coloplast.com