Somerset, NJ—Catalent, Inc. has agreed to acquire Bettera Holdings, LLC, a manufacturer of gummy, soft chew, and lozenge nutritional supplements, according to a press release. Catalent is paying $1 billion for the company, which is currently a portfolio company of Highlander Partners, LP.

Catalent is a global provider of development sciences and manufacturing platforms for medicines including biotherapeutics, cell and gene therapies, and consumer health products. Bettera, the press release states, has “broad and difficult-to-replicate expertise” in developing and producing consumer-preferred products for nutraceutical, functional, and botanical ingredients, and has four production facilities in the U.S. The acquisition will enable Catalent to expand its current consumer health technology platform.

Reuters reportsthat chewable forms of vitamins are gaining popularity, and the market is expected to reach $9.3 billion by 2026.

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“As the leading global innovator of softgel and oral technologies, Catalent has a strong, long-standing presence in the rapidly expanding consumer health and nutraceutical marketplace. This acquisition allows us to significantly accelerate the growth of our consumer health business and offer customers access to the substantial potential in gummies, soft chews, and lozenges, which are experiencing double-digit growth,” commented Dr. Aris Gennadios, President, Softgel and Oral Technologies, Catalent. “This acquisition is a key strategic move for Catalent’s Consumer Health business, where our leadership in manufacturing technologies and formulation can offer customers more product development opportunities and add manufacturing capacity in this dynamic and fast-growing segment.”

The acquisition is expected to close before the end of 2021, subject to customary terms and closing conditions. It includes the transfer of substantially all of the approximately 500 employees and the product development, manufacturing, and packaging assets of Bettera Holdings.

“Bettera was established with a vision to serve the needs of consumers who want to experience the benefits of nutritional supplements through more enjoyable and convenient dose forms,” stated Jeff L. Hull, President and CEO of Highlander Partners. “Catalent has long had a similar vision, combined with specialized expertise, a history of successful innovation, a wide range of offerings, and the resources to help Bettera continue to grow and meet customer and consumer needs. Together, Catalent Consumer Health and Bettera are well positioned to continue Bettera’s mission of serving consumers and participating in the long-term growth of the self-care market.”