Consort Medical cites growing Bespak as driver for £230m Aesica acquisition
Aesica told Outsourcing-pharma.com that: "This transaction will create a much larger company, with over 2000 employees, and we hope our employees will have greater opportunities to develop their careers within the Company"
The UK contract manufacturing organisation (CMO) added that "our customers will not see any disruption to their existing arrangements during the integration of Aesica into the Consort Group."
This echoed the official statement of Consort CEO Jon Glenn who said Aesica "represents a very strong fit with our existing strategy of diversifying into adjacent markets and technologies to capture additional value in the drug [and] device supply chain."
Glenn cited Consort's inhalable and injectables unit, Bespak, as a likely beneficiary from the Aesica acqusition, explaining that: "Aesica is highly complementary to Bespak's existing business and provides a number of clear strategic, competitive and value-enhancing benefits."
Aesica was launched in 2004, after a management buyout at an active pharmaceutical ingredient (API) manufacturing unit of German chemicals giant BASF.
Since then Aesica has been slowly transforming into a contract development and manufacturing organisation. This process accelerated in 2011 when it was acquired by investment group Silverfleet Capital.
It is worth noting, given Glenn's comments about Bespak, that Aesica's sterile injectables facility in Nottingham, UK is not currently operational.
Earlier this year the firm halted prodution of aseptic and terminally sterilised products.
In August, Aesica spokeswoman Indira Walker confirmed that, following discussions with the UK MHRA, the firm decided to stop making injectables at the site and would instead focus on manufacturing "solid dose, inhalation and other dosage form medicinal products."
Consort predicted that the Aesica deal will be "materially enhancing pre-synergies" suggesting that there may be some overlap between its existing business and Aesica's operation.
Aesica told us that: "The Group will continue to evaluate suitable organic as well as inorganic opportunities for growth which are consistent with the strategy of both companies.
"The two businesses are extremely complimentary with aligned visions and values and Aesica’s Robert Hardy will be joining Consort’s executive committee."
As part of London Stock Exchange listed Consort Aesica will become the latest privante CDMO to join the public markets behind sector leader Catalent and, more recently, Sweden-based firm Recipharm.