GI Partners agreed to buy California Cryobank, a donor sperm and egg bank, and Cord Blood Registry, a stem cell collection and storage company. GI plans to combine the two companies, which will serve about 600,000 families across more than 30 countries. The combined deal is expected to close in the third quarter. The deal will be GI’s fifth platform investment from Fund V, which closed on $2.8 billion last year.
GI Partners, a private equity investment firm, announced today that it will acquire California Cryobank (CCB), the world’s premier donor sperm and egg bank, and Cord Blood Registry (CBR), the world’s largest stem cell collection and storage company, and simultaneously combine the two businesses. Upon completion of the transaction, the combined entity will create the leading player in the stem cell storage and reproductive tissue services markets.
The combined transaction is expected to close in the third quarter of 2018, subject to customary closing conditions and regulatory approvals.
The two best-in-class companies will join to serve nearly 600,000 families across more than 30 countries. The organization’s full family-focused suite will include cord blood and cord tissue collection and storage, frozen donor sperm and frozen donor egg services, and fertility preservation storage services.
“We are excited to partner with GI Partners in pursuing significant growth and expansion opportunities that lie ahead for our combined company,” said Richard Jennings, CEO of CCB, who will continue on as CEO of the combined business. “As a combined entity with GI Partners’ support, we are well positioned to continue our mission of helping grow and protect healthy families around the world.”
Dave Kreter, Managing Director at GI Partners said, “We have been following the growing and dynamic reproductive and stem cell space for several years and were attracted to these two companies by their robust customer and market characteristics. Their combination represents a unique opportunity to create a new platform better positioned to further expand their industry leading capabilities. We are excited to collaborate with management to extend the combined company’s capabilities internationally and make critical investments to support its next phase of growth.”
Howard Park, Managing Director at GI Partners said, “CBR and CCB are market leaders with significant brand recognition in their respective end markets. The combination of these two exceptional companies will create a natural one-stop shop for meeting customers’ reproductive and stem cell storage needs. The outstanding leadership team and medical professionals are devoted to the patients they serve and to the scientific excellence they demonstrate. We look forward to working with Richard and his talented team to further accelerate the growth of the combined business.”
The combined company represents the fifth platform investment in GI Partners Fund V, a $2.8 billion private equity fund raised in 2017.
About California Cryobank
California Cryobank provides frozen donor sperm and egg services, reproductive tissue storage, and cord blood/tissue banking (through FamilyCord) and is registered with the FDA, accredited by the AATB and AABB, and licensed by the states of California and New York. For more information, visit www.californiacryobank.com.
About Cord Blood Registry
Cord Blood Registry® (CBR®) is the world’s largest newborn stem cell company. Founded in 1992, CBR is entrusted by parents with storing samples from more than 600,000 children. CBR is dedicated to advancing the clinical application of cord blood and cord tissue stem cells by partnering with institutions to establish FDA-regulated clinical trials for conditions that have no cure today. For more information, visit www.cordblood.com.
About GI Partners
GI Partners is a private investment firm based in San Francisco. The firm has raised $16 billion in capital from leading institutional investors across the globe. GI Partners’ private equity team focuses on investments in the IT Infrastructure, Healthcare, Software, and Services sectors. For more information on GI Partners and its entire portfolio, please visit www.gipartners.com.