Press release
Baar-Zug, Switzerland, 1 June 2016
Partners Group to acquire PCI Pharma Services, a leading global provider of
outsourced pharmaceutical services
Partners Group, the global private markets investment manager, has agreed to
acquire global pharmaceutical services provider PCI Pharma Services ("PCI")
on behalf of its clients. The company is being sold by Frazier Healthcare
Partners ("Frazier"), which acquired PCI in 2012. Frazier will retain a
minority investment in the company. The terms of the transaction have not
been disclosed.
PCI, headquartered in Philadelphia, PA, in the US, offers its clients
outsourced services across the entire pharmaceutical supply chain, including
drug development and manufacturing, clinical trials and packaging services.
The company has a diverse customer base of more than 350 companies in the
pharmaceutical, biotechnology, animal health, and consumer care spaces,
including the world's leading pharmaceutical manufacturers. PCI employs more
than 2,800 people across the US and Europe, and generated sales of over USD
475 million in 2015.
Following the acquisition, Partners Group plans to work with PCI's
management team, led by CEO Bill Mitchell, to add more specialized offerings
to the product range and expand the company both organically and through
add-on acquisitions
.
Bill Mitchell, CEO of PCI, comments: "We are very pleased to welcome
Partners Group as our new business partner, following a successful period of
growth under the previous ownership. Partners Group shares our commitment to
providing the industry's leading customer experience. I believe our combined
business networks and sector experience provide the ideal platform to
support PCI's continued growth."
Dr. Remy Hauser, Managing Director, Industry Value Creation, Partners Group,
adds: "The healthcare sector continues to see a migration towards outsourced
core services such as packaging and manufacturing by major pharmaceutical
brands in order to streamline costs. PCI's commitment to quality, service
and technical innovation have secured it a loyal customer base and
positioned it well to capitalize on this long-term trend."
Nathan Every, M.D., General Partner at Frazier Healthcare Partners, says:
"We are excited to continue our partnership with PCI and its
industry-leading management team, and welcome Partners Group to lead the
next phase of growth for the company."
Joel Schwartz, Managing Director and Head of Private Equity Americas at
Partners Group, states: "We look forward to working alongside Bill Mitchell
and the rest of PCI's impressive management team in the coming years. Given
the supportive market environment and PCI's longstanding role as a trusted
partner to leading players across the global healthcare industry, our view
is that the company has all the ingredients in place to achieve further
solid growth. We are excited to be able to play an important role in PCI's
continued success."
White & Case LLP, Ropes & Grey LLP, and KPMG LLP are advising Partners Group
and Jefferies has provided a commitment for the debt financing. RBC Capital
Markets, LLC served as the exclusive financial advisor to PCI, and Goodwin
Procter LLP served as legal counsel. Alvarez & Marsal is advising PCI and
Frazier Healthcare Partners.
About Partners Group
Partners Group is a global private markets investment management firm with
over EUR 46 billion (USD 50 billion) in investment programs under management
in private equity, private real estate, private infrastructure and private
debt. The firm manages a broad range of customized portfolios for an
international clientele of institutional investors. Partners Group is
headquartered in Zug, Switzerland, and has offices in San Francisco, Denver,
Houston, New York, São Paulo, London, Guernsey, Paris, Luxembourg, Milan,
Munich, Dubai, Mumbai, Singapore, Shanghai, Seoul, Tokyo and Sydney. The
firm employs over 800 people and is listed on the SIX Swiss Exchange
(symbol: PGHN) with a major ownership by its partners and employees.
www.partnersgroup.com
About Frazier Healthcare Partners
Founded in 1991, Frazier Healthcare Partners is a leading provider of growth
equity and venture capital to high growth and emerging healthcare service
and biopharma companies. With more than $2.9 billion under management,
Frazier has invested in more than 170 companies ranging from early-stage
venture investments to growth buyouts of profitable middle market companies.
For 25 years, Frazier has established itself among entrepreneurs and
seasoned executives as a preferred partner to help create and grow
successful healthcare companies. Frazier Healthcare Partners has offices in
Seattle, Wash., and Menlo Park, Calif., and invests broadly across the
United States, Canada and
Europe.
www.frazierhealthcare.com
About PCI Pharma Services
The global healthcare industry trusts PCI for the
development solutions that increase their products' speed to market and
opportunities for commercial success. Only PCI brings the proven experience
that comes with more than 50 successful product launches a year and over
four decades in the healthcare business. Leading technology and continued
investment enables us to address global needs throughout the product life
cycle — from preclinical development, clinical investigational studies,
commercialization and ongoing supply. Our clients view us as an extension of
their business and a collaborative partner, with the shared goal of
improving patients' lives.
www.pciservices.com
Investor relations contact:
Partners Group
Alexander von Wolffradt
Phone: +41 41 784 66 45
Email:
alexander.wolffradt@partnersgroup.com
Media contacts:
Partners Group
Jenny Blinch
Phone: +41 41 784 65 26
Email:
jenny.blinch@partnersgroup.com
Frazier Healthcare Partners
Theresa Maloney, Cogenta Communications
Phone: +1 415 225 5261
Email: theresa@cogentacom.com
PCI Pharma Services
Justin Schroeder
Phone: +1 815 218 0865
Email:
justin.schroeder@pciservices.com