Partners Group has agreed to acquire Pharmathen, a European pharmaceutical company, from BC Partners. The transaction values the company at an enterprise value of around EUR 1.6 billion ($1.88 billion). Phamathen is a contract development and manufacturing (CDMO) specialized in advanced drug delivery technologies for complex generic pharmaceutical products.
Baar-Zug, Switzerland; 19 July 2021
Partners Group to acquire Pharmathen, a leading European pharmaceutical company, from BC Partners
- Pharmathen’s unique B2B business model specializes in advanced drug delivery technologies
- Partners Group will work with Pharmathen to accelerate its expansion in the US
- The transaction values the Company at an enterprise value of around EUR 1.6 billion
Partners Group, a leading global private markets firm, has, on behalf of its clients, agreed to acquire Pharmathen (or “the Company”), a leading European pharmaceutical company, from international investment firm BC Partners. The transaction values the Company at an enterprise value of around EUR 1.6 billion.
Founded in 1969, Pharmathen is a leading contract development and manufacturing organization (“CDMO”) specialized in advanced drug delivery technologies for complex generic pharmaceutical products. With best-in-class Research & Development (“R&D”) capabilities, the Company is a specialist in the development of “sustained release” technologies that improve patient compliance, such as long-acting injectables, slow-releasing oral medicines and ophthalmics. Pharmathen’s differentiated B2B model attracts a blue-chip customer base of more than 215 generic pharmaceutical companies, which it serves from two US/EU-approved manufacturing facilities in Greece. The Company’s highly diversified product portfolio of c. 80 commercialized products is accessed by patients in more than 85 countries worldwide.
Partners Group will work closely with Pharmathen’s management team, led by Chief Executive Officer Dimitris Kadis, on initiatives to scale the business in Europe and globally. In particular, Partners Group will support the Company to accelerate its expansion in the US, by building out its on-the-ground presence. Additionally, Partners Group will draw on its deep sector expertise in healthcare and pharmaceuticals, as well as its experience in state-of-the-art manufacturing, to support the development of innovative technology platforms that improve patient compliance and lead to better treatment outcomes.
Pascal Noth, Managing Director, Private Equity Europe, Partners Group, says: “Pharmathen is very well-regarded by the broader pharmaceutical industry as an innovative and forward-thinking company. It is a mission-critical partner to its B2B clients whose advanced pharmaceutical technologies create real societal impact and optimize treatment outcomes for patients. Partners Group will lend its operational expertise to support Pharmathen as it expands to meet increasing demand for affordable Generics and positions for long-term, sustainable growth. We are delighted to back Dimitris and his talented management team and look forward to working with them.”
Dimitris Kadis, Chief Executive Officer, Pharmathen, says: “We are excited to partner with Partners Group in this next chapter of our growth story. The investment, support and guidance of BC Partners has enabled them to be extremely instrumental in taking the Company to the next level as a global leader in drug development and delivery. With the support of Partners Group’s global platform, we are looking forward to building a drug development powerhouse that is a trusted partner to blue-chip clients worldwide and makes a positive impact on the lives of people, by ensuring they enjoy better health.”
Dr. Remy Hauser, Managing Director, Private Equity Europe, Partners Group, adds: “We have been tracking advanced CDMOs for several years via our Thematic Research and have developed deep conviction in this area of the pharmaceutical industry. In our view, Pharmathen’s market-leading R&D capabilities make it one of the most attractive companies in this segment and well-positioned to benefit from the transformative trends supporting the industry’s growth. As an entrepreneurial owner, our mission is to support Pharmathen to become a globally leading CDMO through continuous innovation in drug administration technology, further implementation of state-of-the-art production capabilities, and expansion in the US.”
Partners Group’s private equity team has invested more than USD 5 billion in Health & Life companies on behalf of its clients since inception. Other recent investments in the sector include PCI Pharma Services, EyeCare Partners, Confluent Health and Wedgewood Pharmacy.
About Partners Group
Partners Group is a leading global private markets firm. Since 1996, the firm has invested over USD 150 billion in private equity, private real estate, private debt and private infrastructure on behalf of its clients globally. Partners Group seeks to generate strong returns through capitalizing on thematic growth trends and transforming attractive businesses and assets into market leaders. The firm is a committed, responsible investor and aims to create sustainable returns with lasting, positive impact for all its stakeholders. With USD 119 billion in assets under management as of 30 June 2021, Partners Group provides an innovative range of bespoke client solutions to institutional investors, sovereign wealth funds, family offices and private individuals globally. The firm employs more than 1,500 diverse professionals across 20 offices worldwide and has regional headquarters in Baar-Zug, Switzerland; Denver, USA; and Singapore. It has been listed on the SIX Swiss Exchange since 2006 (symbol: PGHN). For more information, please visit www.partnersgroup.com or follow us on LinkedIn or Twitter.