Retailer Vita Group (ASX:VTG) has completed an acquisition of skin treatment clinic Clear Complexions for $9.5 million comprising cash and shares.
The purchase takes the retailer into the growing $1 billion per annum Australian non-invasive medical aesthetics market.
The agreement gives the sellers of Clear Complexions an option to receive a 5 per cent interest in Vita Group’s business and the potential to receive earn-outs if the business exceeds earnings over target in the next two years.
Clear Complexions is anticipated to deliver $10 million in annual revenue and over $1 million in EBITDA in the first year following the sale.
Vita Group said the acquisition is part of the group’s strategy to diversify its portfolio to continue to drive growth and profitability.
Shares in Vita Group (ASX:VTG) are trading 0.41 per cent lower to $1.21.