Enzymotec Ltd. has disclosed details of its planned IPO on Nasdaq: the nutritional supplements company will offer 4.4 million shares at a price range of $16 to $18. At the midpoint of the proposed range, Enzymotec will have a fully diluted market value of $391 million, and will raise $75 million.
The company will give the underwriters an over-allotment option on 661,800 additional shares, which, if fully exercised, will bring in a further $10.6-11.9 million. At the end of the second quarter, Enzymotec had $9.7 million cash. Bank of America Merrill Lynch and Jefferies are the joint bookrunners on the deal. "Globes" was the first to report on the company's plans to go public earlier this year.
Enzymotec was founded in 1998 at Naiot Venture Accelerator in Yokne'am, on the basis of research by Dr. Sobhi Basheer. It is now based in Migdal Ha'Emek. Its CEO is Ariel Katz.
In the first half of 2013, the company had sales of $28.7 million, 84% more than in the corresponding period in 2012, and posted a net profit of $4.7 million, which compares with $845,000 for the corresponding period, and $4.8 million for 2012 as a whole.
Enzymotec is owned by Galam Group Ltd. (Kibbutz Ma'anit), XT Investments Ltd. (formerly Ofer Hi-Tech), GlenRock Israel, Millennium Material Technologies Fund, and Mexico's Arancia Industrial SA de CV.
Enzymotec has developed a proprietary method for processing fatty acids (lipids). The nutritional supplements developed on the basis of its method are sold under leading international nutritional supplements labels, as well as under its own label. In the US, the company also sells nutritional supplements, backed by clinical trials, for special indications, such as high cholesterol, heart disease, and memory improvement.
Enzymotec invested NIS 100 million in building its development and production center in Migdal Ha'Emek, which was opened in 2009. It has subsidiaries in New York and South Carolina, a joint venture in Sweden, a representative office in China, and sales and marketing activities in dozens of countries. It currently has 149 employees: 117 in Israel, 30 in China, and 2 in the US.
Published by Globes [online], Israel business news - www.globes-online.com - on September 17, 2013
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