Cosmos Health Successfully Closes Acquisition of Assets from I. Bikas GP; Annual Revenue Projected to Grow by over $10 Million
CHICAGO, IL / ACCESSWIRE / June 16, 2023 / Cosmos Health Inc. ("Cosmos Health" or the "Company") (NASDAQ:COSM), a global healthcare group with proprietary lines of nutraceuticals and distributor of pharmaceuticals, branded generics, OTC medications and medical devices, announced today the successful closing of the acquisition of the distribution network owned by I.Bikas General Partnership ("Bikas"), an established pharmaceutical company that has been operating in Greece since 1986.
This strategic bolt-on transaction, through inclusion into the distribution network operated by the Company's wholly-owned subsidiary CosmoFarm Pharmaceuticals S.A. ("CosmoFarm"), entails the acquisition of Bikas's robust sales and distribution network for pharmaceutical and para-pharmaceutical products. The network, which currently generates an approximate annual turnover of $6.7 million (€6.2 million), encompasses 50 well-established pharmacies that cater to the everyday needs of individuals. This acquisition aims to further enhance efficiency and generate synergies with CosmoFarm's existing state-of-the-art facility, which leverages robotic technologies to automate procurement, inventory management, and order execution, thereby delivering an even higher level of service to pharmacies. Due to the expanded service coverage by Cosmos Health, the network is poised for substantial growth, projected to generate annual revenue surpassing $10 million.
Greg Siokas, Chief Executive Officer of Cosmos Health, stated: "We are delighted to announce the successful acquisition of this valuable asset. Continuing with the steady pace of our acquisition strategy, this signifies another step in our well-devised expansion roadmap that is unfolding according to plan. Through this strategic transaction, we expect to increase efficiency and create synergies with our existing CosmoFarm facility, as well as expand and diversify our customer base. Our annual revenue is projected to increase substantially by over $10 million, representing a more than 20% increase compared to FY 2022 levels. This represents another significant advancement for us as we strive to strengthen our position in the pharmaceutical industry and establish a diversified global healthcare group. We also eagerly look forward to completing the anticipated acquisitions of Cana Laboratories and Docpharm, which are poised to provide an additional significant boost to our annual revenue and substantially strengthen our cash flows. This marks a significant milestone for Cosmos, yet our ambition doesn't end here. We are intensifying our efforts and actively pursuing additional promising acquisition opportunities in our pipeline."
About Cosmos Health Inc.
Cosmos Health Inc. (Nasdaq:COSM) is a global healthcare group that was incorporated in 2009 and is headquartered in Chicago, Illinois. Cosmos Health is engaged in the nutraceuticals sector through its own proprietary lines of products "Sky Premium Life" and "Mediterranation." Additionally, the Company is operating in the pharmaceutical sector through the provision of a broad line of branded generics and OTC medications and is involved in the healthcare distribution sector through its subsidiaries in Greece and UK serving retail pharmacies and wholesale distributors. Cosmos Health is strategically focused on the R&D of novel patented nutraceuticals (IP) and specialized root extracts as well as on the R&D of proprietary complex generics and innovative OTC products. Cosmos Health has developed a global distribution platform and is currently expanding throughout Europe, Asia and North America. Cosmos Health has offices and distribution centers in Thessaloniki and Athens, Greece and Harlow, UK. More information is available at www.cosmoshealthinc.com and www.skypremiumlife.com.
With the exception of the historical information contained in this news release, the matters described herein, may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Statements preceded by, followed by, or that otherwise, include the words "believes," "expects," "anticipates," "intends," "projects," "estimates," "plans" and similar expressions or future or conditional verbs such as "will," "should," "would," "may" and "could", are generally forward-looking in nature and not historical facts, although not all forward-looking statements include the foregoing. These statements, involve unknown risks and uncertainties that may individually or materially impact the matters discussed, herein for a variety of reasons that are outside the control of the Company, including, but not limited to, the Company's ability to raise sufficient financing to implement its business plan, the impact of the COVID-19 pandemic and the war in Ukraine, on the Company's business, operations and the economy in general, and the Company's ability to successfully develop and commercialize its proprietary products and technologies. Readers are cautioned not to place undue reliance on these forward- looking statements, as actual results could differ materially from those described in the forward-looking statements contained herein. Readers are urged to read the risk factors set forth in the Company's filings with the SEC, which are available at the SEC's website (www.sec.gov). The Company disclaims any intention or obligation to update, or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
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SOURCE: Cosmos Health Inc.