NUTRITIONAL SUPPLEMENT DEMAND RISES AMID PANDEMIC
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NUTRITIONAL SUPPLEMENT DEMAND RISES AMID PANDEMIC
HEALTH & WELLNESS INDUSTRY UPDATE | JANUARY 2021
3
Health & Wellness
Nutritional Supplement Demand Rises Amid Pandemic
TABLE OF CONTENTS KEY TAKEAWAYS
Key Takeaways Capstone Headwaters’ Consumer & Retail Group (CRG) is pleased to share its
Industry Outlook Health & Wellness report. Through our ongoing conversations with active
industry players and analysis of trends during COVID-19, we have identified
Supplements in High Demand several key takeaways below, followed by an in-depth overview of industry
M&A Volume Outperforms Prior Year dynamics and transaction activity on the following pages.
Notable Transactions
Select Transactions 1. COVID-19 has placed a heightened focus on health-conscious products as
Public Company Performance consumers have increasingly sought to boost immunity and wellness.
Public Company Data 2. Public company performance has rebounded substantially since the onset
Firm Track Record of the pandemic, with subsegment returns displaying a remarkable
recovery from mid-March.
3. Consumers have migrated towards trusted brands with effective direct-to-
consumer (DTC) platforms, a trend likely to remain post-pandemic.
4. M&A activity is poised for a strong year in 2021, with Q4 2020 recording
the highest quarterly deal count in 2020.
5. Trading multiples of public companies have improved which bodes well
for higher M&A valuations in 2021.
6. Vitamins, minerals, and supplements providers with strong brand
recognition and online penetration are expected to continue to garner
both strategic and private equity buyer interest.
Lisa Tolliver
Senior Director
773-791-9493
ltolliver@capstoneheadwaters.com
2
Health & Wellness | January 2021
INDUSTRY OUTLOOK
Existing consumer preferences towards nutritional
supplements and functional food products have been
substantially accelerated by COVID-19, evidenced by the Lisa Tolliver, Senior Director
76% year-over-year (YOY) increase in Vitamin C “Health & Wellness has been a bright
supplement sales during the first half of 2020, which spot amidst the pandemic, particularly
amounted to $209 million, according to Nielsen.1 E- for those brands selling online. COVID-
commerce has proven to be a critical channel for industry 19 has put health at the forefront of
participants to stimulate DTC and retail sales growth amid consumer’s minds and actions. The
widespread physical store closures. Leading nutritional sector is benefitting from heightened
products provider, Glanbia (ISE:GL9) has continued to consumer interest that is translating
invest in its e-commerce platform which was a key into strong M&A activity amongst both
component of its €76.3 million capital expenditure in strategics and private equity investors.
2019. Through Q2 2020, 34% of Glanbia Performance Multiples within the sector are strong,
Nutrition Product sales were through online channels, with public companies trading in the
according to its earnings release.2 double digits and expected to remain
strong throughout 2021.”
Top public companies encountered severe headwinds
during the onset of the pandemic, evidenced by the
decline in EBITDA multiples in mid-March. However,
valuations have recovered with multiples in the
Supplements segment improving 30.2% from March 11.
In addition, General Health & Wellness companies have
continued to trade at premium valuations, with EBITDA
multiples standing at 20.8x as of December 31.
Health & Wellness Public Company EBITDA Multiples Recover From Early Pandemic Headwinds
Supplements General Health & Wellness Food & Beverage
25x
March 11: WHO declares 20.8x
COVID-19 a pandemic
20x
15x 13.7x
EV/EBITDA
10x
11.2x
5x
0x
Dec-19 Feb-20 Apr-20 Jun-20 Aug-20 Oct-20 Dec-20
3
Health & Wellness | January 2021
SUPPLEMENTS IN HIGH DEMAND
The Supplements industry has powered through COVID- provider, recorded an 8.6% increase in YOY revenue in Q2,
19 by leveraging e-commerce capabilities, which has been supported by strong volume growth in its U.S. markets,
reflected in premium valuations, fueling what could be a according to its earnings release.6 In addition, new
positive merger and acquisition (M&A) trend for business customers have increasingly been drawn to nutritional
owners. While the pandemic has slowed personal products during the pandemic, as Herbalife has cited a
consumption expenditures it has also fostered a 25% YOY increase in unique customers in the U.S. While
heightened awareness for health-conscious products as demand has begun to normalize in the Vitamins and
consumers have increasingly sought to boost immunity Supplements markets, sales remain elevated YOY and
and overall wellness. The pandemic has facilitated a health and wellness products are forecast to continue to
substantial increase in demand for vitamins, minerals, capture consumer spending post-pandemic.
supplements, and other wellness solutions, which had
projected to achieve a market size of $230.7 billion by The pandemic has reaffirmed consumer preferences for
2027 prior to COVID-19, according to Grand View trusted brands offering quality products. Brand
Research.3 Notably, vitamin sales elevated significantly recognition plays a significant role in purchasing habits,
during the onset of COVID-19 disruption, rising 44% YOY with online penetration becoming increasingly critical
during the six weeks ending on April 5th, according to amidst widespread lockdown and social distancing
Nutritional Outlook.4 In addition, nutritional supplements measures. However, as COVID-19 has accelerated the
have also experienced a similar surge in demand and have shift to e-commerce channels, popular brands that have
drastically outpaced 2019 levels. During the six weeks heavily relied on specialty stores have encountered severe
ending on April 5th, nutritional supplement sales challenges. GNC, a mainstay in nutritional products, filed
amounted to $435 million, surpassing 2019 full year totals for Chapter 11 bankruptcy in June following years-long
of $345 million. Heightened interest in wellness products sales declines, accelerated by COVID-19 induced store
is also supported by increased social media mentions for closures. Despite its e-commerce revenue increasing 25%
specialty health ingredients and vitamins. Internet in Q1, same store sales (inclusive of e-commerce sales) fell
searches for elderberry, a vitamin C-rich medicinal plant, 10.1% YOY as COVID-19 forced 30% of GNC’s company-
have increased by 16 times compared to January of 2019, owned and franchise stores to close, according to its
according to L.E.K.5 earnings release.7 The reliance on brick-and-mortar
specialty stores, in conjunction with mounting debt, forced
Top public players in the Health & Wellness industry have GNC into a fundamental restructuring and has
showcased resilience despite supply chain and distribution underscored the importance of efficient DTC models. The
challenges. Industry participants with robust e-commerce pandemic has driven the monumental shift to e-
capabilities and sound supplier networks, coupled with commerce channels in the Supplements industry, with
online brand recognition, have captured sustained online sales expected to grow 61.4% in 2020, compared to
customer retention and sales growth. Notably, Herbalife 7.1% growth in brick-and-mortar, according to Nutrition
Nutrition (NYSE:HLF), a leading nutritional products Business Journal.8
according
Global Dietary Supplements Market To Expand Google Sees Elevated Health & Wellness Searches
Global Dietary Supplements Market is expected to reach Searches in Google show heightened interest for elderberry,
$230.7 billion by 2027, forecasting continued consumer vitamin C, vitamin D, and Immunity Boosters, which peaked
preference for health-conscious products in the early months of the pandemic
$350 100
Elderberry
$300 Vitamin D
80
Search Interest Index
$250 $230.7 Vitamin C
$213.3
$ in Billions
$197.3 Immunity Booster
$200 $182.4 60
$168.7
$144.2 $155.9
$150 $123.3 $133.3
40
$100
20
$50
$0 0
2019 2020 2021 2022 2023 2024 2025 2026 2027 Aug-19 Oct-19 Dec-19 Feb-20 Apr-20 Jun-20
Source: Grand View Research Source: Google Trends
4
Health & Wellness | January 2021
M&A VOLUME OUTPERFORMS PRIOR YEAR
Health & Wellness M&A activity remained robust through M&A Transaction Volume Rises in Q4
2020, highlighting the sustained buyer appetite for well-
performing brands with strong customer retention. Across 2019 2020
the broader M&A market, many industries experienced
drastic slowdowns in Q2 deal count, however, the Health 60 M&A volume outpaced 2019 quarterly levels,
& Wellness industry maintained steady volume except for a modest YOY decline in Q2. Q4
throughout the pandemic’s disruption. Total deal volume 50 registered the highest deal count in 2020, creating
Number of Transactions
optimism for a healthy M&A environment in 2021
amounted to 102 transactions announced or completed,
40
slightly above 2019 levels of 95 deals. Strategic buyers
28 30
comprised the majority of transactions, with public 30 25 27
24
companies in particular accounting for 54% of deals as 19 21 23
they deployed aggressive inorganic growth strategies. 20
Notably, Novozymes (CPSE:NZYM B) acquired Microbiome
Labs, a leading provider of probiotic and microbiome 10
solutions in the Consumer Health industry for an
0
enterprise value of $256.8 million in December. The
Q1 Q2 Q3 Q4
acquisition provides Novozymes with an entry point into
the North American Human Probiotics market,
incorporating it into its OneHealth platform.9 Source: Capital IQ, PitchBook, FactSet, and Capstone Research
The Vitamins, Minerals, and Supplements subsector has garnered elevated buyer interest in Q4 from both strategic and
private equity players. Notably, Unilever (LSE:UNLV) acquired SmartyPants Vitamins, a provider of multifunctional
supplements absent of artificial favors, sweeteners or preservatives (November, undisclosed). The acquisition highlights the
heightened interest among public companies to bolster their vitamins and supplements offerings as consumers grow
increasingly health conscious. Private equity firms (21% of total deal volume) have also continued to target the Vitamins,
Minerals, & Supplements sector. In October, New Mountain Capital announced its acquisition of premier vitamins, minerals,
and supplements brand, Natrol for an enterprise value of $550 million. New Mountain Capital plans to combine Natrol with
its portfolio company Jarrow Formulas (acquired in August for an undisclosed sum), a leading formulator and manufacturer of
probiotics, vitamins, minerals, and supplements.10
As consumer activities have rapidly shifted to digital settings due to the pandemic, the intersection between online
experiences and nutritional products have been amplified. Robust e-commerce capabilities have been paramount, with
digitally native companies in high demand. In addition, digital fitness providers have utilized M&A to expand their offerings
in the Nutrition segment to bolster customer engagement and operational synergies. In December, digital fitness and
nutrition platform Openfit acquired sports nutrition provider, Ladder (undisclosed). Ladder’s offerings will enhance Openfit’s
on-demand fitness platform by adding a collection of premium supplement offerings.
Lisa Tolliver, Senior Director
“M&A activity in the Health & Wellness sector, particularly the Vitamins & Minerals segment, finished
the year strong. The positive outlook for the sector is attracting private equity investors who are
developing theses around the sector, several of which made platform investments in 2020 and are
actively looking for add-on opportunities for 2021.”
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Health & Wellness | January 2021
NOTABLE TRANSACTIONS
Several notable transactions have been announced or completed in the industry in 2020. Select transactions are outlined below,
followed by a more comprehensive list on the following page.
Brand Holdings, LLC acquires Dr. Emil Nutrition
(July 2020, Undisclosed)
Brand Holdings, a partnership between private equity firms Kidd & Company and T-street Capital, has
acquired leading e-commerce nutritional products provider Dr. Emil Nutrition. Terms of the transaction
and were not disclosed. Dr. Emil offers health and wellness supplements and sports nutrition products
manufactured in an FDA-registered and good manufacturing practice (GMP) laboratory. Dr. Emil
employs a science-backed approach, formulating products with clinically proven ingredients.
Brand Holdings focuses on acquiring DTC e-commerce companies with a specialization in the Health &
Acquires
Wellness, Sports Nutrition, Beauty, and Functional Foods industries. Brand Holdings plans to enhance
the Dr. Emil product line and grow its presence in the Nutritional Supplements market. “The market for
nutritional supplements is undergoing a momentous shift as e-commerce continues to play an
increasingly critical role in consumer purchasing behavior. Dr. Emil has demonstrated proven success
with online sales and is well positioned to benefit from these industry trends,” commented Gerry
DeBiasi, partner at Kidd & Company in a press release.11
Nestlé Health Sciences S.A. acquires Vital Proteins, LLC
(June 2020, Undisclosed)
Nestlé Health Sciences, a subsidiary of Nestlé (SWX:NESN) has agreed to acquire leading collagen
brand and wellness platform Vital Proteins. Terms of the transaction were not disclosed. Vital Proteins
offers collagen powders, beverages, capsules, and bars across North America and Europe. Its products
are sold in approximately 35,000 retail locations including Whole Foods, Costco, Target, Walgreens, and
Kroger. In addition, it sells its products through its e-commerce site, offering one-time and subscription
Acquires purchase options.
“Joining NHSc allows us to take Vital Proteins to the next level by leveraging resources, scale and
capabilities, and moving toward a future with an expanded offering of science-backed products,”
commented Kurt Seidensticker, Founder and CEO of Vital Proteins in a press release.12 The acquisition
enhances Nestle’s presence in the Functional Nutrition market, adding a robust portfolio of premium
products. It also complements Nestle’s existing vitamin, mineral supplement, and wellness brands
including Atrium Innovations, Garden of Life, Pure Encapsulations, and Persona.
LoveKind Inc. acquires ELXR Juicelab
(June 2020, Undisclosed)
LoveKind has acquired ELXR Juicelab, a cold-pressed juice and superfood café, for an undisclosed sum.
Toronto-based ELXR offers cold-pressed juices, protein-dense and plant-based milks, tonic waters,
booster shots, wellness lattes, smoothies, and cleanse packages. It currently operates five superfood
cafés and an online platform for home delivery.
Acquires
Lovekind is a hospitality and creative brands incubator with a product portfolio including Calii Love and
Love Child Social House. ELXR will leverage Lovekind’s geographic reach and capital resources to
expand into new markets and diversify and enhance its product offerings. In addition, ELXR plans to
launch several new retail locations in Canada over the next two years and develop a state-of-the-art
production facility in the Greater Toronto Area. The acquisition also significantly bolster’s Lovekinds
portfolio in the Food and Beverage market, especially as consumers increasingly focus on health and
wellness products.
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Health & Wellness | January 2021
SELECT TRANSACTIONS
Enterprise EV / LTM
Date Target Acquirer Target Business Description Value (mm) Revenue EBITDA
Novozymes
12/18/20 Microbiome Labs Manufactures nutritional supplements. $256.8 - -
(CPSE:NZYM B)
Giddy Up Energy R-Three
12/15/20 Provides nutritional and energy products. - - -
Products (OTCPK:RRRT)
12/07/20 Conscious Cultures Trolley Venture Produces and sells organic kombucha. - - -
USANA Health Offers protein and energy products including Built bar,
12/03/20 Built Brands BuiltGO, Built boost, and Built broth products. - - -
(NYSE:USNA)
Provides sports nutrition products including high-
12/02/20 Ladder Openfit performance, NSF Certified for Sport supplements. - - -
Puree Artisan Offers cold-pressed juices through online home
11/30/20 Jrink - - -
Juice Bar delivery and provides subscription services.
SmartyPants Provides gummy vitamins that include multivitamin,
11/25/20 Unilever (LSE:ULVR) omega-3, and vitamin D supplements. - - -
Vitamins
Offers an online delivery platform for nutritionist-
11/23/20 Factor75 Hello Fresh (XTRA:HFG)designed meals focused on health and wellness. $277.0 12.4x -
Manufactures and distributes healthy snacks
11/15/20 KIND Mars and fruit and nut bars. - - -
Global
11/12/20 Karex Global Provides sexual health products. $51.9 13.5x -
Protection
Whole Earth Brands Manufactures zero sugar, keto-friendly, and plant-
11/10/20 Swerve based sweeteners and baking mixes. $80.0 - -
(Nasdaq:FREE)
Umbra Develops health and wellness products including
11/03/20 Dreaming Company - - -
(OTCPK:UCIX) sleeping supplements.
10/30/20 Freshly Nestlé (SWX:NESN) Provides freshly prepared meals online. - - -
New Mountain
10/25/20 Natrol Offers vitamins, minerals, and supplements. $550.0 - -
Capital
Provides a direct-to-consumer nutrition and weight
10/18/20 Nutrisystem Kainos Capital management platform. $493.7 0.7x 5.3x
Naturelo Premium Arcadia Consumer
10/15/20 Manufactures vitamins, minerals, and supplements. - - -
Supplements Healthcare
Rosewood Private Develops, formulates, and manufactures functional
10/01/20 Living Ecology - - -
Investments food and nutrition supplements.
09/18/20 World Waters Caribé Juice Produces cold-pressed watermelon juices. - - -
09/14/20 HiLo Nutrition Highlander Partners Manufactures pre-workout nutrition gummies. - - -
09/08/20 KetoSports Limitless Venture Provides energy and health supplementation products. - - -
09/02/20 Noho Health Bayer (XTRA:BAYN) Produces and supplies vitamins and supplements. - - -
Offers nutritional supplements for men, women,
08/30/20 Jarrow Formulas New Mountain Capital infants, toddlers, and children. - - -
08/24/20 Truweo Mohawk Group Provides health and wellness products online. $16.4 - -
Source: Capital IQ, PitchBook, FactSet, and Capstone Research
7
Health & Wellness | January 2021
PUBLIC COMPANY PERFORMANCE
YEAR-OVER-YEAR 2019 2020
LTM EBITDA 50.0x
MULTIPLES
40.0x 34.6x
Public players in the 30.0x
22.7x 22.6x
Supplements industry have
17.7x 17.6x
recorded mixed year-over- 20.0x
11.9x
11.0x 10.6x 12.0x 12.5x 12.3x
year EBITDA multiples 9.3x 9.5x
9.5x
performance, with 10.0x
Blackmores, Glanbia,
Jamieson, and Medifast 0.0x
experiencing gains Blackmores Glanbia Herbalife Jamieson Medifast TCI Co. WW
Wellness International
Source: Capital IQ as of December 31, 2020
YEAR-OVER-YEAR 2019 2020
LTM EBITDA 35.0%
MARGIN 30.0% 25.7% 26.7%
24.0% 24.0%
25.0% 19.5%
EBITDA margins have 19.2%
20.0% 15.2% 14.5%
remained relatively steady 14.6% 13.8%
15.0% 11.6%
in 2020 compared to the 9.7%
10.0% 8.6% 8.8%
prior year, although
Blackmores, Glanbia, and 5.0%
Herbalife experienced 0.0%
modest declines Blackmores Glanbia Herbalife Jamieson Medifast TCI Co. WW
Wellness International
Source: Capital IQ as of December 31, 2020
LTM REVENUE 30.0%
GROWTH 25.0% 22.0%
20.0% 14.6% 13.4%
15.0% 10.5%
10.0%
Medifast and Glanbia 5.0%
have led other public 0.0%
players in last twelve- -5.0% -1.7%
month revenue growth -10.0%
-3.6%
through 2020 at 22%
-15.0%
and 14.6%, respectively
-20.0% -15.3%
Blackmores Glanbia Herbalife Jamieson Medifast TCI Co. WW
Wellness International
Source: Capital IQ as of December 31, 2020
8Health & Wellness | January 2021
PUBLIC COMPANY TRADING & OPERATING DATA: SUPPLEMENTS
Price % 52 Wk Market Enterprise LTM EV / LTM
Company 12/31/20 High Cap Value Revenue EBITDA Margin Revenue EBITDA
Blackmores Limited $57.84 78.5% $1,119.1 $1,170.6 $394.8 $33.9 8.6% 3.0x 34.6x
Glanbia plc $12.70 89.8% $3,727.7 $4,679.7 $4,445.2 $392.7 8.8% 1.1x 11.9x
Herbalife Nutrition Ltd. $48.05 90.8% $5,843.7 $7,443.0 $5,351.4 $780.5 14.6% 1.4x 9.5x
Jamieson Wellness Inc. $28.36 78.4% $1,130.3 $1,274.8 $290.1 $56.5 19.5% 4.4x 22.6x
Medifast, Inc. $196.34 94.1% $2,300.7 $2,142.9 $840.6 $122.0 14.5% 2.5x 17.6x
TCI Co., Ltd. $7.16 60.4% $834.7 $727.6 $293.5 $78.5 26.7% 2.5x 9.3x
WW International, Inc. $24.40 51.7% $1,661.5 $3,161.4 $1,387.3 $333.1 24.0% 2.3x 9.5x
Mean 16.7% 2.4x 16.4x
EV = enterprise value; LTM = last twelve months Median 14.6% 2.5x 11.9x
$ in millions, except per share data
NM = Not Meaningful Harmonic Mean 14.1% 2.0x 13.2x
PUBLIC COMPANY TRADING & OPERATING DATA: GENERAL HEALTH & WELLNESS
Price % 52 Wk Market Enterprise LTM EV / LTM
Company 12/31/20 High Cap Value Revenue EBITDA Margin Revenue EBITDA
Abbott Laboratories $109.49 95.1% $187,600.2 $201,641.2 $32,221.0 $7,823.0 24.3% NM 25.8x
By-health Co., Ltd. $3.70 87.7% $5,848.4 $5,401.1 $870.8 $299.9 34.4% NM 18.0x
Church & Dwight Co., Inc. $87.23 88.1% $21,672.3 $23,102.2 $4,744.7 $1,145.9 24.2% 4.9x 20.2x
Colgate-Palmolive Company $85.51 99.0% $73,296.5 $79,887.5 $16,162.0 $4,342.0 26.9% 4.9x 18.4x
Hypera S.A. $6.63 80.0% $4,176.2 $4,313.5 $691.1 $127.1 18.4% NM 33.9x
Nature's Sunshine Products, Inc. $14.95 98.4% $293.9 $241.3 $375.2 $40.8 10.9% 0.6x 5.9x
Pharmanutra S.p.A. $46.20 92.2% $445.3 $428.2 $68.2 $18.6 27.2% NM 23.1x
Reckitt Benckiser Group plc $89.32 81.6% $63,599.2 $77,649.5 $16,736.4 $4,997.3 29.9% 4.6x 15.5x
USANA Health Sciences, Inc. $77.10 83.6% $1,622.0 $1,362.9 $1,095.4 $192.7 17.6% 1.2x 7.1x
Zydus Wellness Limited $27.23 98.2% $1,732.8 $1,724.6 $231.2 $39.4 17.0% NM NM
Mean 23.1% 3.3x 18.7x
Median 24.2% 4.6x 18.4x
Harmonic Mean 20.8% 1.7x 13.9x
Source: Capital IQ as of December 31, 2020
9Health & Wellness | January 2021
PUBLIC COMPANY TRADING & OPERATING DATA: FOOD & BEVERAGE
Price % 52 Wk Market Enterprise LTM EV / LTM
Company 12/31/20 High Cap Value Revenue EBITDA Margin Revenue EBITDA
Danone S.A. $65.76 71.6% $42,704.2 $58,211.2 $27,940.6 $5,641.5 20.2% 2.1x 10.3x
General Mills, Inc. $58.80 88.9% $35,952.5 $48,224.4 $18,286.7 $4,101.5 22.4% 2.6x 11.8x
The Hain Celestial Group, Inc. $40.15 98.8% $4,040.6 $4,398.7 $2,070.5 $228.8 11.1% 2.1x 19.2x
Kerry Group plc $144.95 93.8% $25,613.3 $28,293.3 $7,974.8 $1,129.6 14.2% 3.5x 25.0x
Mondelez International, Inc. $58.47 97.5% $83,621.6 $101,708.6 $26,196.0 $6,485.0 24.8% 3.9x 15.7x
Post Holdings, Inc. $101.01 89.9% $6,654.5 $13,112.5 $5,698.7 $1,079.7 18.9% 2.3x 12.1x
The Simply Good Foods Company $31.36 99.6% $3,001.8 $3,530.2 $816.6 $152.4 18.7% 4.3x 23.2x
Mean 18.6% 3.0x 16.8x
Median 18.9% 2.6x 15.7x
Harmonic Mean 17.4% 2.8x 15.1x
Health & Wellness 2020 Total Return
Supplements General Health & Wellness Food & Beverage
40%
March 11: WHO declares
30% +27.5%
COVID-19 a pandemic
20%
Total Return Percentage
10% +2.4%
0%
+1.5%
-10%
-20%
-30%
-40%
-50%
-60%
Dec-19 Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20 Aug-20 Sep-20 Oct-20 Nov-20 Dec-20
Source: Capital IQ and FactSet as of December 31, 2020
10Health & Wellness | January 2021
HEALTH & WELLNESS REPORT CONTRIBUTORS
Lisa Tolliver
Senior Director
ltolliver@capstoneheadwaters.com | 773-791-9493
Lisa has 20 years of experience in the investment banking industry, primarily focused on advising middle
market private business owners in liquidity related transactions. As a Senior Director in Capstone
Headwaters’ Consumer practice, she works closely with clients to advise and execute domestic and
cross-border M&A transactions, recapitalizations and capital raises. Lisa has deep M&A expertise and
knowledge of businesses in the consumer and e-commerce sector, particularly related to those selling
via direct-to-consumer, Amazon, mass and OTC channels.
Prior to Capstone, Lisa worked in the Capital Strategies Group at Morgan Stanley Smith Barney and also
spent 10 years working for the middle market investment banking arm of Citigroup, where she was
involved in the evaluation, marketing and closing of numerous transactions involving private businesses
and corporate divestitures. Lisa received her BA on academic scholarship from Illinois State University
and is a Series 7 and 63 Registered Securities Representative.
Brianna Conway
Associate
bconway@capstoneheadwaters.com | 847-849-0913
Brianna is an Associate in the firm’s Chicago office, working closely with private business owners to
advise and execute mergers, acquisitions and strategic capital raises. Prior to joining Capstone
Headwaters, Brianna was an Analyst at PwC Corporate Finance on their M&A team where she focused
on healthcare provider and services sell-side transactions. Brianna graduated with honors from Indiana
University’s Kelley School of Business with a major in Business Economics and Public Policy. She holds
her Series 7, 63 and 79 licenses.
Connor McLeod
Research Associate
cmcleod@capstoneheadwaters.com | 617-619-3319
Connor is a Research Associate at Capstone Headwaters primarily specializing in Building Products &
Construction Services, Healthcare, Business Services, and Cybersecurity. Prior to joining Capstone
Headwaters, Connor was a specialist with the Investor Services team at BlackRock where he worked with
mutual funds, closed end funds, and exchange traded funds and communicated fund performance,
relevant market dynamics, and facilitated trades for shareholders, financial advisors, and institutional
clients. Connor holds a BA in Economics from Bates College and is a Series 7 Registered Securities
Representative.
2020 2020 2019 2019 2019
MIDDLE MARKET US MIDDLE MARKET
INVESTMENT BANKING FIRM INVESTMENT BANKING FIRM INVESTMENT BANKING FIRM
INVESTMENT BANK INVESTMENT BANK
OF THE YEAR OF THE YEAR OF THE YEAR
OF THE YEAR OF THE YEAR
INTERNATIONAL AWARDS TURNAROUND AWARDS
11Health & Wellness | January 2021
FIRM TRACK RECORD
Capstone Headwaters professionals have represented clients across the Consumer Products & Services industry. This focus
allows Capstone Headwaters to provide Health, Wellness and Fitness clients with real-time transaction feedback and
immediate access to key decision makers among the industry’s most active acquirers and investors. A sampling of Capstone
Headwaters' closed transactions is shown below:
CONFIDENTIAL CONFIDENTIAL CONFIDENTIAL CONFIDENTIAL
Corporate Sale Corporate Sale Corporate Sale Corporate Sale
E-commerce Provider of E-commerce Provider of Branded Fitness & Branded Essential
Vitamins & Supplements Sleep Products Nutritional Supplements Oils Company
CONFIDENTIAL
Corporate Sale has partnered with has been acquired by has been acquired by
Branded Organic Coconut
Amino Products Company
has been acquired by has been acquired by has been acquired by has been acquired by
a portfolio company of
12Health & Wellness | January 2021
CITATIONS
1. USA Today, “Vitamin C for COVID-19: sales of antioxidant surge amid pandemic,”
https://www.usatoday.com/story/money/2020/07/21/coronavirus-vitamin-c-demand-surged-during-pandemic/5403847002/,
accessed August 18, 2020.
2. Glanbia, “Glanbia plc 2020 Half Year,” https://www.glanbia.com/investors/results-reports-presentations/results-releases/2020,
accessed August 14, 2020.
3. Grand View Research, “Dietary Supplements Market Worth $230.7 Billion | CAGR 8.2%,” https://www.grandviewresearch.com/press-
release/global-dietary-supplements-market, accessed August 14, 2020.
4. Nutritional Outlook, “Peak dietary supplement sales leveling off during COVID-19 pandemic, but growth still remains strong over last
year, market researchers report during webcast,” https://www.nutritionaloutlook.com/view/peak-dietary-supplement-sales-leveling-
during-covid-19-pandemic-growth-still-remains-strong, accessed August 13, 2020.
5. L.E.K., “Impact of COVID-19 pm Vitamins, Minerals and Supplements,” https://www.lek.com/insights/impact-covid-19-vitamins-
minerals-and-supplements, accessed August 13, 2020.
6. Herbalife Nutrition, “Herbalife Nutrition Reports Record-breaking Quarterly Net Sales,” https://ir.herbalife.com/financial-information,
accessed August 14, 2020.
7. GNC, “GNC Holdings Inc. Reports First Quarter 2020 Results,” https://gnc.gcs-web.com/news-releases/news-release-details/gnc-
holdings-inc-reports-first-quarter-2020-results, accessed August 13, 2020.
8. Globe Newswire, “NBJ 2020 Supplement Business Report Predicts Supplement Sales Growth Will Spike Above 12% This Year Driven
by Covid-19,” https://www.globenewswire.com/news-release/2020/07/13/2061357/0/en/NBJ-2020-Supplement-Business-Report-
Predicts-Supplement-Sales-Growth-Will-Spike-Above-12-This-Year-Driven-by-Covid-19.html, accessed August 12, 2020.
9. Novozymes, “Novozymes acquires Microbiome Labs and adds a strong position in the North American probiotics market,”
https://www.novozymes.com/en/news/news-archive/2020/12/novozymes-acquires-microbiome-labs, accessed January 4, 2021.
10. Business Wire, “New Mountain Completes Acquisition of Natrol,”
https://www.businesswire.com/news/home/20201130005958/en/New-Mountain-Completes-Acquisition-of-Natrol, accessed January
4, 2021.
11. PR Newswire, “Kidd & Company and T-street Capital Create Direct-to-Consumer E-Commerce Strategy - First Acquisition is a
Leading Health & Wellness Company,” https://www.prnewswire.com/news-releases/kidd--company-and-t-street-capital-partner-to-
create-direct-to-consumer-e-commerce-strategy--first-acquisition-is-a-leading-health--wellness-company-301088825.html,
accessed August 13, 2020.
12. Nestle, “Nestlé Health Science agrees to acquire majority stake in Vital Proteins,”
https://www.nestle.com/media/pressreleases/allpressreleases/nestle-health-science-to-acquire-majority-stake-vital-proteins,
accessed August 12, 2020.
Disclosure: This report is a periodic compilation of certain economic and corporate information, as well as completed and announced merger and acquisi-
tion activity. Information contained in this report should not be construed as a recommendation to sell or buy any security. Any reference to or omission of
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