Avallon MBO FUND I has sold Organic Farm Health
Avallon MBO FUND the owner of Poland’s largest network of organic food stores has sold its entire stake to the Italian distributor of organic food EcorNaturaSi.
The new eco trend in food industry and the end of a cycle of MBO FUND I companies contributed to the decision to sell 63.4 % of the shares for over PLN 39,000,000.
Avallon has been present in the structures of the company since 2010. The scale of the company’s business grew from 30 million to over 80 million in 2015 and, according to the forecasts presented by the management board, by the end of 2016 the revenues are expected to reach PLN 100,000,000.
At the time of the purchase of OFZ (Organic Farm Health) by Avallon Fund, its (OFZ’s) dominant activity was retail stores located in large shopping centers.
Currently, the company is a leader in both retail and wholesale (Eco Vital). EcorNaturaSi is the largest distributor of organic food and biodynamic products in Italy. The Group has over 30 years of experience in organic farming and it is one of the European leaders in the market for organic products.
EcorNaturaSi sells around 6,500 products in over 1,000 stores,including 220 of its own Bio Supermarket chain in Italy, and employs almost 1,000 people. In 2015, the turnover of the Group amounted to 330 million euros.
Sławomir Chłoń, CEO of Organic Health Farma SA:
We want to maintain our position of a market leader. We believe that we will be able to continue the dynamic growth recorded in the recent years, and the profitability will keep increasing. Gaining such a strong investor should translate into an increase of the value of Organic Health Farm. This is a very important step for the development of the whole group and the Eco market in Poland.
Robert Więcławski Avallon MBO FUND:
We have a lot of satisfaction from what has been achieved in the company over those 6 years. Thanks to the implemented strategy and constant increases, the company has significantly strengthened its market position as a leader and , which is equally important , contributed to the development of customer awareness and knowledge about the market of organic products. That and the fact that OFZ has a clear vision of its development plans for the coming years, makes us feel a little sorry that we are parting with the company. The decision to sell was mostly dictated by the life cycle of the fund – as at this stage Avallon is selling its portfolio companies which comprised its first fund’