London, UK – GHO Capital, the European specialist investor in healthcare, acknowledges today’s announcement from its portfolio company, Sterling Pharma Solutions, regarding the acquisition of CiVentiChem in the US.
UK-based contract development and manufacturing organisation (CDMO), Sterling Pharma Solutions, has announced its acquisition of CiVentiChem’s US facility located in Cary, North Carolina, US.
The new facility, located close to the Research Triangle Park, will allow Sterling to offer a local presence to its US clients and enhance its chemistry development capabilities to support pre-clinical and early phase clinical supply.
The acquisition follows Sterling’s record growth, with the company more than doubling its sales since its formation in 2016 following a management buy-out (MBO). With the support of its new investor, GHO Capital, the acquisition advances Sterling’s strategy to build a global chemistry services business.
Commenting on the announcement, Kevin Cook, CEO of Sterling Pharma Solutions, said: “We’re delighted to announce our acquisition of CiVentiChem in the US. We’ve been keen to expand our presence in the US market and the site’s capabilities complement our current service offering.”
“The North American market now makes up 70% of our customer portfolio which was one of the major reasons behind the decision to look for a facility in the US. This has been primarily driven by the market’s emerging pharma sector and customer demand for our specialist capabilities in complex and challenging chemistry.”
The acquisition of CiVentiChem US is the latest step in Sterling Pharma Solutions’ ongoing growth strategy to allow it to continue providing high service levels to its global customer base.
The purchase of the new facility follows the completion of a majority acquisition of Sterling Pharma Solutions by the specialist European healthcare investor, GHO Capital earlier this year.
Sterling Pharma Solutions is the UK’s largest provider of small molecule API development and manufacturing services to the pharmaceutical industry, specialising in handling challenging chemistries. With over 50 years’ experience, the team can manage the most complex API and API intermediate challenges and its facilities have the scale to go from proof-of-concept to commercial manufacture.
CiVentiChem is a leading provider of solutions for complex chemistry problems across the pharmaceutical, biotech and life sciences industry. Founded by Drs. Bhaskar Venepalli and Srinivas Chittineni, CiVentiChem US facility houses development laboratories and kilo scale cGMP suites. “We have developed excellent relationships with many clients and this acquisition will make Sterling a global player in CDMO business” said Bhaskar Venepalli, CiVentiChem President and CEO. CiVentiChem will continue to operate out of its own facility in India as a separate entity to Sterling.
CiVentiChem was advised on this transaction by Wombat Capital Markets, LLC.
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GHO Capital Partners LLP
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About GHO Capital
Global Healthcare Opportunities, or GHO Capital Partners LLP, is a leading specialist healthcare investment advisor based in London. We apply global capabilities and perspectives to unlock high growth healthcare opportunities in Europe, building market leading businesses of strategic global value. Our proven investment track record reflects the unrivalled depth of our industry expertise and network. We partner with strong management teams to unlock value in a global system that demands the provision of better, faster, cheaper healthcare. For further information, please visit www.ghocapital.com.
About Sterling Pharma Solutions.
Sterling Pharma Solutions is a leading provider of small molecule API development and manufacturing services to the global pharmaceutical industry. The Company delivers a full-service offering of API development and GMP contract manufacturing capabilities to support customers’ projects through the entire product lifecycle, wherever they are based. Sterling Pharma Solutions is the UK’s largest provider of API development and manufacturing services to the pharmaceutical industry and specialises in handling challenging chemistries. Its diverse portfolio now includes more than 60 products. The Company is based in Northumberland, UK. For more information, please visit www.sterlingpharmasolutions.com.