Icelandic herbal medicine company, Florealis, will merge with SagaNatura, a biotech company making health products from plants, which will allow for expansion and growth in international markets. Florealis has raised several rounds of funding, including $3.8M in investment from NSA Ventures and a fundraising campaign through Funderbeam.
“My opinion is that most companies in this industry in Iceland are too small to make a real effort to expand. This is one of the steps we are interested in taking to make a large natural products company in Iceland. Because we believe that Iceland’s nature has a lot to do with the health of the world,” Karl Guðmundsson, CEO of Florealis, told the Icelandic media outlet, Morgunblaðið.
During the merger, SagaNatura’s current shareholders will acquire 64.5% in Florealis and the company’s headquarters will be located in SagaNatura’s premises in Hafnarfjörður.
Florealis was founded in 2013 with the aim to bridge the gap between pharmaceuticals and herbal products. The product line of natural medicines are based on clinical research and are used to treat diseases like anxiety, sleep disorders, migraines and arthritic pain.
SagaNatura was founded in 2000 as SagaMedica by food and pharmaceutical professionals, and creates health products and food supplements from natural Icelandic ingredients like microalgae and angelica.