London private equity house Bridgepoint is nearing a majority acquisition of Prescient Healthcare Group, a strategy consulting business for the biopharmaceutical industry, PE Hub has learned.
Management and existing investor Baird Capital plan to roll equity in the deal, maintaining a minority investment in the London company, sources said.
Bridgepoint – which owns PE Hub parent company PEI Media – is expected to invest through Bridgepoint Development Capital (BDC), its lower mid-cap fund. BDC focuses on buyouts and growth capital investments in businesses valued up to £200 million ($272 million).
The deal, which sources said is imminent, is expected to produce a valuation in excess of $200 million.
Edgemont Partners and Alantra acted as joint advisers on the sell-side, having kicked off a sale process in September for the pharma services business, according to sources.
Founded in 2007, Prescient provides competitive intelligence and decision support services, among other strategic consulting services, to the biopharmaceutical industry. The business helps its clients – largely during the development of a drug compound – make better clinical and commercial decisions in order to achieve success.
With six offices spanning three continents – including three US offices – Prescient has grown at a CAGR of about 20 percent over the last five years, its website states.
A more than $200 million deal value would suggest a great outcome for Baird Capital a little more than three years into its investment.
Baird Capital, the direct private investment arm of Robert W. Baird & Co, typically invests alongside entrepreneurs and company founders. The firm has the flexibility to invest in companies at numerous stages of growth, from the idea-phase to companies with $150 million in revenues, according to its website.
Representatives of Bridgepoint, Baird Capital and Prescient did not return PE Hub’s requests for comment.
Update: During Baird’s hold, Prescient’s revenue doubled and underlying profits tripled, the firm told PE Hub after a subsequent announcement confirmed this report. At the same time, employee count more than doubled, with a significant part of expansion taking place in the U.S. and India.