CHARLOTTE, N.C. (Oct. 21, 2015) –
European private equity firm Cinven today closed that it has agreed to sell AMCo (‘the Group’), the niche specialty pharmaceuticals group to TSX/Nasdaq-listed Concordia Healthcare Corporation, (‘Concordia’ or ‘the Company’), a diverse healthcare company focused on legacy pharmaceutical products and orphan drugs, for an enterprise value of $3.5 billion, through a combination of cash, shares, and a performance-based earnout.
Bourne Partners, a leading healthcare and consumer healthcare investment banking, merchant banking, and investment firm, acted as a financial advisor to Cinven and AMCo on the transaction.
“We were pleased to offer our unique market knowledge and industry relationships to aid AMCo in generating this very positive outcome for Cinven as well as Concordia,” said Banks Bourne, Chief Executive Officer and Senior Managing Director of Bourne Partners. “I’m excited to add Cinven and AMCo to our blue-chip, global client base of private equity firms and healthcare companies. As consolidation within the pharmaceutical industry continues, we believe diversified, global companies like Concordia will be well positioned to meet the demands of the changing landscape.”
Cinven created AMCo, which focuses on the sale of niche prescription off-patent products, in 2012 through the transformative merger of Mercury Pharma (‘Mercury’) and Amdipharm, both of which were acquired in bilateral transactions, in August and October 2012 respectively.
Cinven’s Healthcare team identified the opportunity to consolidate the niche pharmaceutical market more than two years prior to this, developing a unique strategy from the outset to merge these two attractive and complementary targets. Cinven’s combination of Amdipharm with Mercury (with 70% international sales and 80% UK sales, respectively, at the time of acquisition) created a truly global leader.
Bourne Partners, a preeminent advisory shop in its areas of coverage, and the Bourne Partners team has advised many of the specialty pharmaceutical companies of size over the last decade. As both advisors and investors, Bourne Partners has been involved with transactions ranging from $10 million to over $1 billion.
"On the back of their extensive knowledge and first-hand experience of transacting in the pharma space, Bourne Partners were able to help provide significant guidance as we prepared for our exit process,” said Supraj Rajagopalan, Partner at Cinven. “We received great engagement from the full team and thank Banks, Minor and Jeremy for their insightful input."
About Bourne Partners (BP)
Headquartered in Charlotte, N.C., Bourne Partners is a financial advisory, investment and consulting firm founded in 2001 that focuses solely on fulfilling the unique needs of established healthcare and pharmaceutical companies across the globe. Originally founded as a pharmaceutical investment firm, BP has evolved its service offerings in an effort to form enduring relationships with the healthcare and consumer companies it chooses to serve. For additional information, visit bourne-partners.com.
For more information about the transaction, visit http://www.cinven.com/mediacentre/pressreleases.aspx?mediaid=634