With net sales of approximately $145 million in 2013, Healthy Directions is expected to increase Helen of Troy’s revenues by more than 10% on an annualized basis. Healthy Directions grew 8.4% in 2013 compared to 2012, ahead of the industry trend in the VMS market, according to Helen of Troy.
Entering the VMS category is a logical step according to Helen of Troy, which says it continues to capitalize on the health and wellness trend. Other deals in this area include the acquisition of Kaz in December of 2010 and PUR in December of 2011.
Healthy Directions’ portfolio of supplements and health care products is branded with the names of highly respected physicians and nutritional experts in attractive product segments such as heart health, digestive health, joint health, skin care, and vision support. It has a "strong, innovation pipeline and an advantageous direct marketing and delivery capability, which encourages consumer education and automatic replenishment," according to Helen of Troy.
“This acquisition fits well with our stated goal to invest our cash flow for the benefit of shareholders,” said Tim Meeker, chairman of the board. “Helen of Troy has significant balance sheet strength, which enables it to support its current brands and businesses, evaluate strategic acquisitions, and repurchase outstanding shares. We have been searching for the right acquisition for over two years and believe Healthy Directions is a strong fit for us both strategically and financially."