11 March 2019 | News
Under terms of the agreement, NHF Holdings shall acquire 51% of outstanding Biodelta shares for US$1.6 Million.
Natural Health Farm Holdings, a US based nutraceutical biotechnology company has announced that the Company has executed a term sheet to acquire a majority equity interest in Biodelta, a contract developer and manufacturer of nutraceutical products in South Africa.
Under terms of the agreement, NHF Holdings shall acquire 51% of outstanding Biodelta shares for US$1.6 Million. In connection with the proposed acquisition, the Company shall pay US$160,000 to Biodelta as a refundable deposit. It is anticipated that NHF Holdings shall complete due diligence and close the proposed Biodelta transaction within 90 calendar days from execution of the term sheet.
Founded in 2004, Biodelta is an ISO 22000 accredited contract development, manufacturing, and packaging solutions provider to the health and food industry, supplying capsules, tablets, powders, granules, effervescent sachets and tea. Biodelta's expert qualified personnel offer a complete supply-chain service, and in-house production facilities include research and product development, manufacturing, packaging, packaging design, print and finishing. Biodelta currently operates a 40-acre farm and 22,000 sq. ft. manufacturing facility just outside of Cape Town, South Africa.
Vernon Tee, President of NHF Holdings, commented, “Not only will the acquisition of Biodelta Nutraceuticals enable NHF Holdings to quickly expand its global footprint into Africa, but it will also give us access to many skilled new managers, greatly increases our manufacturing expertise and capabilities, and provides our entire organization with insight into many new potential products and growth opportunities. We are excited to join forces with Biodelta and look forward to completing this acquisition as soon as possible.”
Leon Giese, Biodelta’s Chief Executive Officer, stated, “By combining our efforts with NHF Holdings and their diverse network of health and wellness companies, Biodelta strengthens its own position to take advantage of exciting new opportunities that we have identified in South Africa and potentially expand our reach into South East Asia and Australia.”
The closing of the proposed transaction contemplated by the term sheet is subject to terms and conditions, including, but not limited to, completion of due diligence, execution of definitive agreements between the parties, securing required funding, and preparation of audited and unaudited financial statements.