Guardion Health Sciences, Inc. (Nasdaq: GHSI) has reached a significant milestone with the announcement of an equity purchase agreement to sell its subsidiary Activ Nutritional, LLC, which owns the Viactiv brand and business, to Doctor’s Best Inc., a subsidiary of Kingdomway USA Corp., for a total gross cash consideration of $17.2 million. This key transaction, approved by the Boards of Directors of both Guardion and Doctor’s Best, is subject to customary closing conditions, including approval by Guardion’s stockholders. The deal is expected to close in the quarter ending June 30, 2024, upon receiving necessary stockholder approval.

Robert Weingarten, Chairman of the Board of Directors of Guardion, emphasized the strategic nature of this transaction. “The Board has been exploring diverse strategic options to enhance stockholder value, including the sale of the Company and/or the Viactiv brand and business,” he stated. This sale is the result of a comprehensive review process, with Alantra, LLC, serving as Guardion’s exclusive financial advisor.

Jan Hall, President and CEO of Guardion, who joined the company in June 2023, expressed satisfaction with the sale to Doctor’s Best. “The Viactiv brand and business have shown a robust 13% year-on-year top-line revenue growth,” Hall remarked, highlighting the brand’s strong performance.

Gale Bensussen, CEO of Doctor’s Best and Vice President of Kingdomway, commented on the shared vision and commitment to innovation and quality between Doctor’s Best and Viactiv. “This transaction is a strategic investment that aligns with our commitment to expand our global presence and offer high-quality products to our customers,” Bensussen noted.

Alantra, LLC is acting as the exclusive financial advisor to Guardion, with Sheppard, Mullin, Richter & Hampton LLP serving as legal counsel.

This transaction represents a strategic realignment in the health and wellness industry, reflecting the growing importance of nutritional supplements in global health markets. The acquisition of Viactiv by Doctor’s Best could potentially enhance the brand’s global reach and influence, indicating a significant shift in the landscape of health sector acquisitions.

  Doctor’s Best, Gale Bensussen, Guardion Health Sciences, Jan Hall, Kingdomway USA, Robert Weingarten, Viactiv