Imperial Brands PLC today (Sept 7) announced the acquisition of Swedish modern oral nicotine business Yoik Group AB, owner of the brand Helwit, broadening and strengthening its next generation product (NGP) portfolio in Europe.
Helwit is a leading independent modern oral challenger brand with a share of 3.4% in Sweden, the largest modern oral nicotine market in Europe, accounting for more than 40% of total volumes.
The brand also has a wider online European sales presence and is available in certain retail stores in the UK.
Helwit is characterised by its distinctive Swedish design and heritage, recognisable brand identity, and broad flavour-led portfolio that extends well beyond traditional mint variants.
The addition of the Helwit brand to its portfolio more than doubles Imperial’s existing modern oral market share in Sweden and provides greater choice for its adult consumers seeking alternative non-combustible nicotine products.
Oral nicotine products have a long history of use in Sweden, with the introduction of tobacco-free alternatives around ten years ago supporting further declines in daily smoking rates, which currently stand at around 5%.
Aleš Struminský, Imperial Brands’ Europe Region President, said: “This acquisition reflects our disciplined approach to strengthening our NGP portfolio in markets where we have an existing presence and see attractive long-term growth opportunities. Helwit is a strong challenger brand with a significant market share and supports our broader growth strategy.”
Tomaš Jauković, Sweden Market Manager for Imperial Brands, said: “The addition of Helwit to our portfolio strengthens our ability to appeal to a broader range of oral nicotine consumers. We look forward to combining our consumer and sales expertise with Yoik’s consumer-led product development and brand-building capabilities to accelerate Helwit’s long-term growth.”
Henrik Boson, CEO of Yoik, said: “We built Helwit hand-in-hand with our consumers to develop the distinctive flavours and pouch experience they wanted. We are excited about combining this approach and our proven portfolio with Imperial’s commercial scale to continue breaking new ground.”
Imperial has acquired 100% of the shares of Yoik Group AB, which is based in Gransholm, near Växjö, Sweden. As part of the transaction the Yoik team, including the founders, join the Imperial Brands team.
The transaction – for an initial consideration of SEK 515 million (£39.8 million) with an additional deferred sum based on performance over two years – is consistent with Imperial’s capital allocation policy to invest in the business strategy through bolt-on transactions. Imperial Brands remains committed to an ongoing multi-year share buyback programme.