Norgine, an Amsterdam-based specialty pharmaceutical company, announced that Goldman Sachs Group Inc.’s private equity arm has agreed to buy a majority stake in the company from the Stein Family.
The financial terms of the deal weren’t disclosed. However, Bloomberg reports that the purchase values Norgine at about €1.8B. The Stein family will continue to own a significant stake in the company. The transaction is expected to complete in 2022, following the regulatory approvals.
Norgine was advised by Moelis & Company, Rothschild & Co, Latham & Watkins LLP, PwC, and Jamieson Corporate Finance.
Goldman Sachs Asset Management was advised by Goldman Sachs International – Investment Banking Division, Jefferies International Limited, White & Case LLP, and Deloitte LLP.
Peter Stein, Chairman of Norgine, says, “I am delighted to announce this transformative investment by Goldman Sachs Asset Management which ensures that Norgine can accelerate its growth plans and develop and launch further innovative medicines for the benefit of patients. Norgine has been delivering on this crucial mission for over a century. With Goldman Sachs Asset Management’s support, Chris and the entire Norgine team will be able to expand upon this proud heritage.”
The company says Goldman Sachs investment will enable the next phase of growth, focused on advancing existing brands, developing and commercialising pipeline products, and leveraging the platform through business development initiatives.
Norgine: What you need to know
Founded by Victor Stein, Norgine operates as a pharmaceutical company with over 110 years of heritage. The company develops, produces, and markets pharmaceutical products in Western Europe.
The Dutch company manufactures transformative medicines, operates third-party supply networks, and has significant product development capabilities, in addition to sales and marketing infrastructure. It claims to enable clients to have access to quality products in an affordable way.
Norgine has a diversified, differentiated portfolio of approximately 40 products. The company provides products for gastroenterology, proctology, hepatology, motility disorders, palliative care, and urology. To date, the company has helped 24M patients globally in 2021 and generated €505M in net product sales, a growth of 10 per cent over 2020.
The company has a direct presence in 16 European countries, as well as Australia and New Zealand, and employs over 1,500 people.
Chris Bath, Chief Executive Officer of Norgine, says, “I am incredibly excited to be working with Goldman Sachs Asset Management and the Stein Family, who share management’s ambition to bring more medicines to more patients more quickly. Their investment is a huge endorsement of the accomplishments of my colleagues over many years and signals a renewed commitment to invest in partnering and innovation for the benefit of our patients and healthcare systems.”
Michael Bruun, Partner and Head of the EMEA Private Equity business within Goldman Sachs Asset Management, says, “We are thrilled to partner with Peter and the Stein Family, as well as Norgine’s management team. We have followed Norgine for many years and see great potential to help propel the platform through organic initiatives as well as innovative licensing and M&A. We look forward to working together to accelerate product and pipeline development and executing on our shared vision to unlock the Company’s potential, building on Norgine’s strong capabilities and partnership approach.”
Adam Dawson, Managing Director and Head of EMEA Healthcare Private Equity within Goldman Sachs Asset Management, says, “Norgine’s differentiated capabilities and product offering position the business well for growth. We are uniquely placed to leverage the global Goldman Sachs network, our track record in specialty pharma and consumer healthcare investing, and the Goldman Sachs Value Accelerator’s operating, sector, and digital experts to drive further value creation at Norgine.”
