Zinzino AB (publ) acquires further 13.8 per cent of Faun Pharma AS – safeguarding continued research and expanded product range

Zinzino AB (publ), which last week reported growth of over 40% in 2014, has
acquired a further 13.8 per cent of Faun Pharma AS of Norway and now owns 98.8
per cent of the company.
“By further increasing our majority holding in Faun Pharma we are able to
safeguard continued rapid growth through self-directed research and an expanded
product range. The acquisition will also generate large cost-side synergies for
us, as well as better margins. Since we also acquired BioActive Foods in
December 2014, we now control the entire chain, from research and development to
sales and customer service,” said Dag Bergheim Pettersen, CEO of Zinzino AB.

Faun Pharma is a manufacturer of cosmetics, health and dietary supplements
products. In addition to Zinzino's current range of health products, Faun Pharma
will enable the company to not only continue to develop existing products, but
also to develop completely new ones.
“Faun Pharma is a very modern research and production facility. The plant moved
into new premises in Vestby in Norway just three years ago. The new facility has
given Zinzino the opportunity to research, develop and produce new high-quality
products in an efficient way,” said Dag Bergheim Pettersen.

The ambitious goals outlined by Zinzino, including growth of 25 per cent a year
over the next three years and geographical expansion into new markets such as
Germany and Canada in 2015, presuppose that the company has a solid foundation
from which to grow.
“It is important to always find new, more efficient ways. The fact that we are
now increasing control over all aspects of our product range is of course a step
on the way to achieving our goals of expanding into new markets and growing our
customer base. It also means that we are able to offer our customers a better
and broader product range at a better price,” said Dag Bergheim Pettersen.

Zinzino paid NOK 1.52m in cash for the acquisition of 13.8 of Faun Pharma.

Faun Pharma AS was founded in 2001 and is based in Vestby, 30 minutes south of
Oslo. Its most important customers are the retail chain Life and
Proteinfabrikken, as well as several players in the health and dietary
supplements sector. See www.faunpharma.no.

For more information, please contact:
Dag Bergheim Pettersen, CEO, Zinzino, Tel. +47 (0) 93 22 57 00
Fredrik Nielsen, CFO, Zinzino, Tel. +46 (0) 707 900 174
Photos for publication free of charge, please contact: Anders Ekhammar, Tel. +46
(0) 707 462 579, www.zinzino.se

Zinzino AB (publ.) is a leading direct sales company with a presence in Sweden,
Norway, Denmark, Finland, Estonia, Latvia, Lithuania, Iceland, the Faroe
Islands, Poland, the Netherlands and the USA. Zinzino markets and sells
functional food and coffee. The functional food product line comprises the
Balance products oils, shakes, tests and capsules. The coffee product line
comprises espresso machines, coffee, tea and accessories. Activities are
characterised by high quality, proximity to customers and focus on active
product development. The products are marketed via direct sales. Zinzino is a
public limited company whose shares are listed on Nasdaq First North. The
company has some 60 employees, and as well as the head office in Gothenburg the
company has an office in Florida in the USA. The company also owns a production
company, Faun Pharma AS, which employs 30 staff and is located in Vestby,
outside Oslo in Norway.