Elixinol Wellness Limited (ASX:EXL) has announced the acquisition of 100% of the business assets of The Healthy Chef, marking a strategic move to accelerate high-margin growth and expand its presence in the US market. The acquisition is aimed at advancing EXL's path to positive cash flow and EBITDA growth, aligning with the company's core principles of sustainable nutrition.
The Healthy Chef acquisition is a significant milestone for Elixinol Wellness, positioning us to build a profitable 'House of Brands' in clean nutrition. This strategic move not only provides immediate revenue growth, cost synergies, and positive EBITDA contribution but also enhances our gross margin and reduces corporate costs. The acquisition aligns with our ambitions to optimize returns, reduce risk, and leverage existing infrastructure and distribution channels. We are excited about the high appeal of The Healthy Chef in the US wellness market and the potential for rapid growth, which will further strengthen our position as a sustainable nutrition company.
Elixinol Wellness' acquisition of The Healthy Chef business marks a pivotal moment in the company's growth strategy, aiming to drive high-margin growth and expand into the US market. The acquisition is strategically aligned with the company's goal of building a profitable 'House of Brands' in clean nutrition, with a focus on record revenues, strong growth, and category leadership. The move is expected to result in immediate revenue growth, cost synergies, and positive EBITDA contribution, while also enhancing the company's gross margin and reducing corporate costs. Looking ahead, Elixinol Wellness is poised to capitalize on the high appeal of The Healthy Chef in the US wellness market, with a strong emphasis on leveraging existing infrastructure and distribution channels to fuel sustained growth and profitability.