PE Deals

DCP Capital to buy stake in Chinese business of Jamieson Wellness

Jamieson Wellness is a Toronto-based manufacturer, distributor, and marketer of natural health products.

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  • DCP will contribute about C$47.4m in exchange for a 33.3% share in the ownership structure of Jamieson’s Chinese business
  • In addition, DCP will subscribe for about C$101.6m of preferred shares of Jamieson
  • Both deals are expected to close concurrently in the second quarter of 2023

DCP Capital has agreed to acquire a minority interest in the Chinese operations of Jamieson Wellness, a Toronto-based manufacturer, distributor, and marketer of natural health products. As part of the deal, it will also make a preferred share investment directly in Jamieson.

DCP will contribute about C$47.4 million ($35 million) in exchange for a 33.3 percent share in the ownership structure of Jamieson’s Chinese business. The partnership will be led by a board of directors appointed by the company and DCP, commensurate with their respective ownership interest.

In addition, DCP will subscribe for about C$101.6 million ($75 million) of preferred shares of Jamieson. Both deals are expected to close concurrently in the second quarter of 2023.

DCP’s investment will boost Jamieson’s operations in China and bring high-quality vitamins, minerals, and supplements to a broader base of Chinese consumers, the company said in a statement.

“We are very excited to partner with Jamieson Wellness, one of the most respected VMS companies in the world and owners of Canada’s number one consumer health brand,” said Hwan Chung, managing director of DCP Capital, in the statement. “The company’s rich 100 plus year history, superior product quality and exceptional reputation has made the Jamieson brand much sought-after in the Chinese market. Working together with the Jamieson team, we are confident that our local expertise and operational capabilities will help accelerate the development of Jamieson in China and bring more high-quality health products to an expanded consumer base.”

Headquartered in Beijing, DCP Capital is a private equity firm founded by investors in Greater China.

CG/Sawaya Partners, and Solomon Partners will serve as financial advisors and Cleary Gottlieb Steen & Hamilton and Stikeman Elliott are providing legal advice to DCP.