Australian telehealth startup, Eucalyptus agreed to a $1.6bn all-cash sale to New-York-listed digital health platform Hims & Hers, marking one of the largest startups exits in Australia.
Founded in 2019, Eucalyptus is commercially known through its portfolio of healthcare brands: Pilot (men’s health), Juniper (women’s health) and Kin (fertility). The group operates over Australia, the UK, Germany and Japan. With rapid demand of GLP-1 drugs and a demand for healthier living - Eucalyptus has scaled rapidly over the past 7 years.
With global expansion already underway, the transaction gives Eucalyptus immediate access to Hims & Hers’ distribution, supply chain and customer base which will accelerate Eucalyptus’ international rollout and global mission.
Co-founder and Eucalyptus’ Chief Executive Tim Doyle’s 10% stake has been valued at an impressive $163 million. Doyle is set to stay onboard post-acquisition becoming the Senior Vice President of international operations at Hims & Hers.
For Hims & Hers, the acquisition will fast-track its reach into new markets and expand their global reach.
CEO Andrew Dudum explained the deal will create a diversified international platform for the business and step towards being “the leading global consumer health platform”. For Hims & Hers it’s simple: buying global reach is easier than building it.
As expected, Hims & Hers’ share price fell around 2.5% on announcement on Thursday. However, with Eucalyptus’ strong success over the past seven years, Hims & Hers’ new acquisition will be an interesting watch over the next few months and years.
