Blackmores purchased by brewing firm Kirin

JAPANESE BEER MAKER Kirin Holdings has purchased Australian supplements manufacturer Blackmores.

The deal, which sees Kirin purchasing 100 per cent of Blackmores shares for A$1.88 billion ($2.01 billion), was announced on 27 April.

Blackmores shareholders will be paid out A$95 cash per share, 23.7 per cent more than the stock’s value at the market’s last close.

Blackmores’ board of directors unanimously recommended shareholders vote in favour of the acquisition.

Blackmores chair Wendy Stops says Kirin’s offer represents an attractive, allcash transaction.

“The Blackmores board believes the agreed scheme consideration represents appropriate long-term value for the company and an attractive outcome for Blackmores shareholders,” Ms Stops says in a media release.

Kirin president and chief executive Yoshinori Isozaki says the purchase presents an exciting opportunity to transform the scale and reach of Kirin’s health science domain.

“Kirin Group is working to create social value and economic value by solving social issues through our business activities, and we have been transforming our business from a brewing business to the business model creating value across food and beverages and pharmaceuticals domains, based on the concept of creating shared value,” Mr Isozaki says in a media release.

Kirin exports beers widely and has a range of alcohol-free beverages sold within Japan.

It also owns healthcare businesses and in 2019 started a partnership with Japanese skincare products and dietary supplements firm Fancl.

Kirin has previously stated it aims to generate ¥500 billion ($5.9 billion) in sales per year from its health business by the end of the decade.

The deal with Blackmores is expected to be completed in August.