Kohlberg and Mubadala to Acquire Majority Stake in PCI Pharma Services

PCI Pharma Services (PCI), a provider of pharmaceutical and biopharmaceutical global supply chain solutions and a portfolio company of Partners Group, has signed a definitive agreement under which Kohlberg & Company will acquire a majority stake in PCI, the company announced in an Aug. 24, 2020 press release. Kohlberg is a private equity firm headquartered in Mount Kisco, NY. In addition, Mubadala Investment Company, an Abu Dhabi-based sovereign investor, will also become a significant investor in PCI.

Following the sale to Kohlberg and Mubadala, Partners Group will retain a minority equity stake in PCI. Financial terms were not disclosed.

KohIberg and Mubadala plan to partner with PCl’s management team to add specific capabilities and geographies organically and inorganically, to improve the customer service experience, and to enable customers to bring biopharmaceutical therapies to market. Future capabilities include sterile fill/finish of injectables and the expansion of high potent and specialized manufacturing. Further geographic expansion into Asia and greater Europe are also planned.

“Kohlberg brings considerable successful experience in the biopharmaceuticals and medical device areas, and I am thrilled to be continuing with them to accelerate the growth of our commercial, clinical trial services, and development manufacturing businesses under this new alliance. Both Kohlberg and Mubadala’s experience and track record in supporting successful management teams will make a great impact on PCI’s continued journey of transformation as we focus on building capabilities to support the future demands of our biopharmaceutical customers in our shared goal of bringing life changing therapies to patients worldwide,” said Salim Haffar, PCI’s CEO, in the press release.

“Outsourced pharmaceutical services has been a key investment theme for us over the past few years, and we are excited to be partnering with one of the global leaders in this industry. We have been particularly impressed by the quality and depth of PCI’s management team, as well as the company’s strong execution track record, impeccable values, and distinct vision for the long-term development of their business. We have strong conviction in the company’s growth trajectory and are committed to working with Kohlberg and Partners Group to ensure their long-term success,” said Camilla Macapili Languille, head of Pharma & Medtech, Mubadala, in the press release.

“We are extremely proud of our work with PCI Pharma Services. Though the last few months have been immensely challenging ones, the COVID-19 pandemic has demonstrated the essential nature of the services that PCI provides to the pharmaceutical and biotech industry. On more than one occasion, PCI was the critical link in the supply chain responsible for ensuring life changing therapy reached those in need,” said Remy Hauser, managing director and head of Healthcare, Industry Value Creation, Partners Group, in the press release.

Source: PCI Pharma Services