WellSpring Consumer Healthcare, a portfolio company of Avista Capital Partners, has acquired a portfolio of over-the-counter skincare brands from Bayer AG.
WellSpring is a marketer of over-the-counter and cosmetic brands in the first aid, therapeutic skincare, and digestive health categories. The company’s portfolio of brands, many of which occupy the #1 or #2 positions in their market segments, include Bactine (first aid), Bonine (motion sickness), Emetrol (anti-nausea), and Glaxal Base (therapeutic skincare), and five other OTC brands.
All these brands are widely distributed across the food, drug, mass, and club retail channels in the United States and Canada. WellSpring, led by CEO Chris Brown, was founded in April 1999 and is headquartered in Sarasota, Florida.
Avista acquired WellSpring from Audax Private Equity in August 2022 and the buy of the Bayer brands are the first add-on acquisitions completed by WellSpring under Avista ownership. The acquired Bayer brands include A+D, a diaper rash and skin protectant brand; Solarcaine, a sunburn relief brand, and Cortate and Complex 15, two Canadian therapeutic skincare brands.
“We are thrilled with the additions of A+D and Solarcaine,” said Mr. Brown. “These trusted, iconic brands align with our core mission to improve the health and wellness of our consumers and will reinforce our position as a leader in important needs-based segments, such as therapeutic skincare. WellSpring’s growth model continues to deliver strong results with our focus on new product innovation, distribution expansion, and strategic acquisitions. A+D and Solarcaine offer unique opportunities to accelerate our robust product pipeline.”
“This is a highly strategic acquisition for WellSpring, which not only adds established OTC brands to the WellSpring portfolio, but also provides attractive scale, future growth opportunities, and expands our presence in one of WellSpring’s core product categories,” said Alex Yu, a partner at Avista. “We are excited for WellSpring to continue building upon the strong heritage of these brands through innovative and high-quality new product development.”
New York City-based Avista makes control or influential minority investments in growth-oriented healthcare businesses with a specific interest in pharmaceuticals, medical devices, outsourced pharmaceutical services, distribution, and consumer-driven healthcare. In March 2021, the firm held a final, oversubscribed, and hard cap close of Avista Capital Partners V LP with total committed capital of $1.2 billion.
Avista and WellSpring are actively seeking additional add-on acquisitions.
© 2023 Private Equity Professional | April 11, 2023
