Dermapharm's bold €42-per-share buyback sparks investor frenzy amid stagnation
Dermapharm Holding SE has completed a major share buyback to steady its stock price after years of stagnation. The company offered €42 per share, a 10% premium over the market value at the time. Shareholders responded strongly, tendering more shares than expected. Founded in 1991 and listed in 2018, Dermapharm has grown rapidly through acquisitions. Key purchases include Strathmann, Allergopharma, Arkopharma, C3, and Mucos. The group also owns Anton Hübner, Euromed, and a stake in Wellster Healthtech. Revenue climbed from €572 million in 2018 to €1.18 billion in 2024, partly due to expansion into the MENA region with F. Trenka.
The share buyback aimed to repurchase up to 4.3 million shares—nearly 8% of the company's total. But demand was higher, with around 4.8 million shares tendered. Shareholders will now receive allocations on a pro-rata basis.
Dermapharm's stock once peaked at €90 during the pandemic, boosted by its role in bottling BioNTech's COVID-19 vaccine. However, recent challenges at its reimport subsidiary, Axicorp, have weighed on performance. Despite this, the company's market capitalisation now stands between €2.10 and €2.30 billion. The buyback has helped stabilise Dermapharm's share price after a prolonged period of little movement. With a stronger balance sheet and a diversified business, the company aims to maintain growth. Founder Wilhelm Beier still holds nearly 80% of the shares, ensuring continued control over strategy.
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