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Live Verdure (ASX:LV1) to acquire Edible Beauty, appoints Mark Tucker as CEO

ASX News, Consumer Discretionary
ASX:LV1      MCAP $125.9M
24 August 2022 17:13 (AEDT)
Live Verdure (ASX:LV1) - CEO, Mark Tucker

Source: Mark Tucker

Live Verdure (LV1) will acquire online naturopathically retail platform Edible Beauty and has received binding commitments for a $2.1 million placement.

The acquisition includes an upfront consideration of $1 million consisting of 75 per cent in cash and 25 per cent in shares.

The acquisition is believed to add to LV1’s exisiting capabilities through its direct-to-consumer exposure, product categories expansion and new product development.

It will also extend Live Verdure’s presence in the health, wellness and skincare markets and expanding the company’s target customer profile.

In return, the company presents a significant opportunity for Edible Beauty to leverage the company’s infrastructure across data, technology, warehouse and fulfilment, and marketing to expand into new geographic segments, specifically Amazon USA.

In regards to the placement, the funds will be raised via the issue of 14 million fully-paid ordinary shares to institutional, sophisticated and professional investors at a price of 15 cents.

Participants will also receive one free attaching option for every two shares subscribed for, exercisable at 25 cents with expiry on August 31, 2025.

Additionally, the company has appointed Mark Tucker as its new CEO, effective immediately.

As CEO, Mr Tucker will spearhead the company’s growth strategy which includes consolidating and growing Edible Beauty.

With over 30 years of experience building and leading corporations and startups, Mr Tucker has been involved across many major beauty categories.

Most notably, he was the Managing Director at L’Oréal Australia for eight years and during his tenure, grew revenue from $12 million to more than $400 million.

Commenting on his appointment and acquisition, Mr Tucker said it is a “brilliant opportunity” to grow revenue and bottom line.

“I am delighted to take on the CEO role at Live Verdure and help steer the business into a period of rapid revenue growth and profitability. The foundations are in place, and the time is right to deliver results for shareholders and stakeholders,” he said.

“We expect to develop new products to better complete the consumer offer, expand online and traditional retail distribution, and move to international markets when the timing is right.

“LV1’s resources will be applied to Edible Beauty to deliver these goals while gaining
economies of scale and reducing overheads.”

After the acquisition, Edible Beauty Founder Anna Mitsios will join the Live Verdure executive leadership team as Founder and General Manager of Edible Beauty.

Completion of the acquisition is expected to occur in October.

Shares in Live Verdure were up 30 per cent, trading at 19.5 cents at market close.

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