EQT and KKR announced that EQT VIII fund agreed to sell Karo Healthcare to KKR. This deal marks the next chapter for Karo as it continues to advance its growth strategy under KKR’s ownership, building on its transformation into one of Europe’s leading consumer health platforms since EQT’s initial investment.
Karo is a pan-European consumer healthcare company based in Stockholm, Sweden. The company’s product portfolio spans core categories like skin and foot health, digestion, vitamins, minerals, and supplements. Over the past five years, Karo has scaled substantially, quadrupling in sales, building leading digital capabilities, and establishing market presence to reach consumers in more than 90 countries with top brand positions across European markets.
Under EQT’s ownership since 2019, Karo went through a significant strategic repositioning, shifting from a specialty pharmaceutical company focused on the Nordics into becoming a pan-European pure-play consumer healthcare platform. And during this time, with M&A having been a cornerstone of Karo’s growth strategy, Karo completed eight acquisitions from industry players, enriching Karo’s portfolio, strengthening its presence in key markets, and accelerating its entry into new geographies.
The deal is subject to customary regulatory conditions and approvals and is expected to close soon. And EQT was advised by Morgan Stanley, Jeffries, White & Case and PwC. Citigroup acted as financial advisor to KKR.
KEY QUOTES:
“We’re incredibly proud of what we’ve achieved in recent years and grateful to EQT for their partnership, which has been instrumental in helping us grow and evolve into the business we are today. With KKR as our new owner, we are entering an exciting next phase in our journey. Their global reach, deep sector understanding, and long-term approach make them the ideal strategic partner as we continue to invest in our brands, expand into new markets and meet the evolving health needs of consumers.”
- Christoffer Lorenzen, CEO of Karo Healthcare
“Karo is a textbook example of EQT’s approach – scaling a local company into a fast-growing sector champion with international reach. Thanks to its consumer centricity, strong M&A track record, and proven brand growth playbooks, Karo is now primed to further expand on its leadership position. We’re proud of what Christoffer and the team have achieved and excited to hand over to a new owner for the next phase.”
- Erika Henriksson, Partner in the EQT Private Equity advisory team
“Karo is a unique platform with high-quality brands, strong digital and commercial capabilities, and a proven strong leadership team. We are thrilled to invest in this European champion’s next phase of growth, drawing on our deep experience in the consumer health space to support continued expansion, innovation, and organic and inorganic growth.” Hans Arstad, Managing Director at KKR, added: “Karo operates in a resilient, growing sector supported by long-term demographic trends and increasing consumer focus on wellness and self-care. We engaged the full capabilities of our firm to deliver this transaction during a period of market disruption and we look forward to supporting Karo’s growth as a value-enhancing strategic partner.”
- Inaki Cobo, Partner at KKR
