Healthcare sector comment – March 2012

Date

March saw the completion of 15 transactions giving a total of 46 deals in the first quarter of 2012.

One deal that stood out this month was ConvaTec’s subsidiary Amcare acquiring SureCalm Healthcare Ltd from Apposite Capital. SureCalm Healthcare provides homecare services to patients with long term chronic conditions and was created in January 2010 through the management buy-in of three private Dispensing Appliance Contractor (DACs) businesses. The company focuses on stoma, urology and continence care services and the supply of products and services. This will further increase Amcare’s dominance in the DAC homecare service market.

Another significant transaction last month was GE Healthcare’s acquisition of Xcellerex Inc. Xcellerex develops and produces turn-key biomanufacturing systems and production-scale bioreactors based around single-use components. The proprietary products offer significant advantages such as faster installation, lower capital investment, reduced risk of cross-contamination, and significantly increased flexibility compared with traditional manufacturing technologies. Allowing GE healthcare to provide both upstream and downstream processing solutions to the end customer.

Deals

Anpario Plc acquired Meriden Animal Health Ltd for a consideration of £4.2m. Anpario is a provider of natural feed additives for global agricultural and aquaculture markets. Meriden Animal Health is a company supplying animal health products.

Abingdon Health Ltd acquired Molecular Vision Ltd (50.1% stake) for an undisclosed amount. Abingdon Health is a specialist medical diagnostics company. Molecular Vision an in vitro diagnostic products developer.

Aspen Healthcare Ltd acquired Midland Eye Institute for an undisclosed amount. Aspen Healthcare is an operator of three private acute hospitals, one cancer centre and one clinic in London, the Home Counties and Edinburgh, providing medical services. Midland Eye Institute is an ophthalmic business.

Synergy Health Plc acquired MSI Surgical Solutions LLC for a consideration of £4.1m. Synergy Health Plc is engaged in the provision of outsourced healthcare support services and contract sterilization services. MSI Surgical Solutions is a provider of outsourced sterilization solution for reusable surgical instruments, basins and supplies.

Synergy Health Plc acquired LEONI Studer Hard AG for a consideration of £40m. Synergy Health Plc is engaged in the provision of outsourced healthcare support services and contract sterilization services. LEONI Studer Hard AG is a provider of sterilisation services.

Shire Plc acquired FerroKin BioSciences Inc for a consideration of £207m. Shire is a pharmaceutical company. FerroKin BioSciences is a pharmaceutical company that specialises in the treatment of iron overload.

Certara LP acquired Simcyp Ltd for a consideration of £20.5m. Certara is a provider of software and services to improve productivity and decision-making from drug discovery through clinical development. Simcyp is a population-based pharmacokinetic modelling and simulation software developer.

The management buyout team acquired Westhouse Medical Services Plc’s AST Ambulance Services business for a consideration of £2.8m. Westhouse Medical Services provides medical services to the primary healthcare sector.

GE Healthcare Ltd acquired Xcellerex Inc for an undisclosed amount. GE Healthcare is engaged in the development, manufacture and sale of specialised products for research-based biotechnology supply and for the diagnosis and treatment of disease, as well as operating a pharmaceutical business. Xcellerex is a biomolecule manufacturing systems manufacturer.

BBI Healthcare Ltd acquired Kullgren Pharma AB for an undisclosed amount. BBI Healthcare is a provider of novel fastacting glucose products, specialist women’s health products and heart health and digestive care ranges to domestic and international markets. Kullgren Pharma is a pharmaceutical products manufacturer and wholesaler.

Abcam Plc acquired Epitomics Inc for a consideration of £98m. Abcam is engaged in the production and distribution of antibodies and related protein research tools. Epitomics is a biotech company engaged in developing monoclonal antibody technologies for biomedical research, diagnostics and therapeutics applications.

Amcare Ltd acquired SureCalm Healthcare Ltd for an undisclosed amount. Amcare is a subsidery of Convatec and is a distributor of medical goods. SureCalm Healthcare is a provider of homecare services.

InHealth Ltd acquired Prime Diagnostics Ltd for an undisclosed amount. InHealth is a provider of diagnostic and imaging services. Prime Diagnostics is a provider of endoscopy services to the NHS.

Ambu A/S acquired Unomedical Ltd’s electrode business for a consideration of £4m. Ambu is a developer of diagnostic and life-supporting devices for hospitals and rescue services. Unomedical is a supplier of single-use medical and hospital equipment that are used for critical care, operating room, wound therapy, infusion therapy, general nursing, and surgery.

Domtar Corporation acquired Attends Healthcare Ltd for a consideration of £150.6m. Domtar Corporation is a pulp and paper manufacturer and distributor. Attends Healthcare is an incontinence product wholesaler.