Last year was exceptional for private equity investors in the healthcare sector worldwide. The amount of capital flowing into the healthcare industry doubled, from approximately $15 billion in 2010 to about $30 billion in 2011, and represented 15% of total global private equity deal activity, according to figures from Bain & Company’s first Global Healthcare Private Equity Report.
The report cites that large buyouts helped propel those numbers and inspite of a nearly 10% decline in deal volume, healthcare buyouts comprised 65% of the value of the top ten global private equity deals in 2011. The most active sector, according to the report, was medical technology and related services, accounting for around 40% of value. Pharmaceuticals and related services followed with about 30% of total investment. The remaining 30% or so went to providers and services, the category that also produced the highest volume of deals, says the report.
According to Bain, both financial and strategic investors competed fiercely for assets, driving up multiples while creating more exit opportunities. According to data from peHUB publisher Thomson Reuters, private equity investors in some of the top deals of the last year include Apax Partners, Canada Pension Plan, The Carlyle Group, Hellman & Friedman, BC Partners, Silver Lake Partners, TPG Capital, KKR, Cinven and Triton. A handful of secondary buyouts in this top ten also provided a profitable exit route for some lucky investors. Scroll down to find out who backed what healthcare deal and who paid the highest price for the privilege last year.
Business Description: Manufacturer of reagents
Acquiror: Cinven (secondary buyout from Montagu Private Equity)
Deal Value: $1,093.79 million
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