Actavis to divest Pharmatech to TPG
TPG to focus on growth and development of innovative products
Actavis and TPG, the global private investment firm, have entered into definitive agreements, under which Actavis will divest to TPG the business currently known as Aptalis Pharmaceutical Technologies (Pharmatech) — a pharmaceutical outsourcing and R&D business within Actavis' subsidiary Aptalis operating in the United States, Canada and Europe.
Pharmatech is a leader in pharmaceutical R&D and manufacturing, with specialised capabilities in areas such as taste-masking, customised drug release and the ability to support projects from formulation through scale-up and commercial-scale manufacturing.
John Fraher, President of Aptalis Pharmaceutical Technologies, will become CEO of the new standalone company, and will be joined by others from his management team. The business will continue to operate integrated R&D and manufacturing facilities in North America and Europe.
‘Our decision to divest the Pharmatech business is consistent with our strategic commitment to build leadership positions in our core areas of strength,’ said Robert Stewart, Chief Operating Officer of Actavis. ‘It will enable our industry leading Global Operations team to sharpen their focus on supporting our existing global supply chain, and on preparing for the expansion of our manufacturing network with the addition of the Allergan facilities following the close of the acquisition later this year.’
‘We see great demand in the market for Pharmatech's drug delivery and R&D expertise and, by launching this platform, we hope to continue to support the growth and innovation of pharmaceutical companies, both through the development of de novo products, novel value-added formulations and targeted generic products,’ said John Schilling of TPG.
By acquiring Pharmatech, TPG intends to use the company as a platform to enter into new partnerships and make additional acquisitions to grow the business. ‘We're excited to renew our partnership with TPG and believe the firm's experience in the pharmaceutical industry, combined with their past successes in establishing market leaders from carve-outs, positions us well to build a new, successful platform,’ said John Fraher, President of Aptalis Pharmaceutical Technologies.
