Labomar

M&A Activity • Dec 27, 2021

Press Release

Labomar exercises call option and acquires an additional 7% of Welcare Research Srl, increasing its stake to 70%

Istrana (TV), December 27, 2021 - Labomar SpA (Ticker: LBM), an Italian-based international nutraceutical enterprise and listed on the Euronext Growth Milan market, following on from that announced on July 14, 2021, announces the acquisition today, by means of an option, of the 7% of Welcare Research Srl held by Think FWD Srl, company that has been operating in strategic consulting and investment activities since 2013.

The current acquisition follows that of July for 63% of the share capital of Welcare Research Srl, and therefore brings Labomar's total holding in the Orvieto company - specialised in the production of skincare medical devices - to 70%.

The amount paid to Think FWD Srl, led by CEO Marco Grespigna, a manager who has held top corporate roles in the last twenty years, was settled using Labomar SpA's own funds and therefore without recourse to bank financing.

Welcare Research Srl and its subsidiary Welcare Industries Spa joined the Labomar Group's consolidation scope from the second half of 2021 and will contribute to its growth strategy, also in terms of international expansion, thanks to the strong product interconnections and the absence of any market and customer overlap.

Labomar Profile

Founded by Walter Bertin in Istrana (province of Treviso) in 1998, Labomar is specialised in the development and production of food supplements, medical devices, foods for special medical purposes and cosmetics for third parties. Over more than 20 years, Labomar has built a business model which sets it apart from its competitors and generates value for all stakeholders, providing a comprehensive service and a high quality and productivity standard. The company boasts a well structured and cutting-edge research and development department with a particular focus on innovation, a commercial team which reacts quickly to market demands and a high level of product differentiation thanks to its proprietary patents and formulas.

Labomar reported in 2020 consolidated revenues of Euro 61.1 million, up 26.3% on 2019. The 2020 figure includes - for the first time - the revenues and margins of the Canadian ImportFab for a full year, acquired in October 2019.

In July 2021, Labomar acquired 63% of the Welcare Group. The Group comprises Welcare Industries Spa and Welcare Research Srl, producers of skincare medical devices, with its registered office in Orvieto. In December 2021, the holding increased to 70%.

In November 2021, LaboVar Srl was established - 51% owned by Labomar and 49% by Var Group Spa (a wholly-owned subsidiary of the listed STAR Sesa Spa) - for the sale of nutraceutical products on an ecommerce platform in the Chinese market.

Also in November 2021, Labomar acquired full control of Labiotre Srl, a Tuscan enterprise specialising in the production of plant extracts, fully integrating the supply chain concept advocated by Labomar.

Labomar sincerely believes in operating as a business centred on sustainability and the well-being of the individual, the environment and the community. It has therefore amended it By-Laws to become a Benefit company. This new legal status, introduced in Italy in 2016, formalises the decision to develop a responsible, sustainable and transparent development model, which marries operating-earnings objectives with social and environmental aspects.

For further information: Labomar Press Office Thanai Bernardini - +39.335.7245418 - me@thanai.it Alessandro Bozzi Valenti - +39.348.0090866 - alessandro.valenti@thanai.it

Investor Relations Labomar

Claudio De Nadai - +39.0422.677203 - claudio.denadai@labomar.com Mara Di Giorgio - +39 335 7737417 - mara@twin.services

Euronext Growth Advisor Banca Mediolanum - +39 02 9049 2525 - ecm@mediolanum.it