Little Green Pharma (LGP) has already recouped its outlay on Health House with the distribution business generating A$800,000 in sales in the two months post acquisition.
LGP acquired Health House from Melodiol Global Health earlier this year for just $375,000 in cash, while absorbing an estimated $350,000 of its liabilities.
The company said the integration of Health House was “currently underway and ahead of schedule” with the majority of its customers retained.
It said the deal complements its vertical integration strategy as the industry consolidates.
LGP was considered to have picked up a bargain in February having initially agreed a $1.25m cash transaction for Health House in November 2024. The business had previously been listed for sale by Melodiol at $10.9m.
The immediate return on investment helped deliver unaudited revenue growth of 40% in FY25 to $36.6m. Revenue for the final quarter was $9.6m, up more than 30% on the previous corresponding period, with a record $4m of that coming in March.
The firm has extended its loan facilities with NAB until June 30, 2027 and finished the year with $2.4m cash in the bank.
