Acquisitions Reshape the Bio/Pharm Services Industry - Pharmaceutical Technology

Latest Issue

Latest Issue
PharmTech Europe

Acquisitions Reshape the Bio/Pharm Services Industry
The quest to build critical mass and broaden capabilities has been a key factor in deal-making.

Pharmaceutical Technology
Volume 36, Issue 12

More to come

Despite, or even thanks to, the recent turmoil in the world economy, we expect to see more acquisitions of CMC service providers in the near future. Not only are there clear rationales for making acquisitions of CMC companies, but there also seems to be plenty of resources available to do them. Many private-equity firms are capable of financing these deals, and they especially like the opportunity to consolidate highly fragmented industries, such as CMC development and manufacturing services. Banks in North America, even some European banks, are eager to help fund these deals in an environment where overall loan demand is depressed.

The CMC services industry, especially contract manufacturing, will benefit from having a core of large global companies capable of serving global bio/pharmaceutical companies. Catalent, which was assembled through acquisitions, has already topped the $1 billion mark, and Patheon has gotten there with the Banner acquisition. Aenova and Aesica, both based in Europe, have stated their intention of getting to the $1 billion mark, and Aenova is more than halfway there after its Temmler acquisition.

Acquisitions will continue to reshape the CMC services industry, and they are a sign that the industry is reaching a new level of maturity.

Jim Miller is president of PharmSource Information Services, Inc., and publisher of Bio/Pharmaceutical Outsourcing Report, tel. 703.383.4903, Twitter@JimPharmSource,


blog comments powered by Disqus
LCGC E-mail Newsletters

Subscribe: Click to learn more about the newsletter
| Weekly
| Monthly
| Weekly

FDASIA was signed into law two years ago. Where has the most progress been made in implementation?
Reducing drug shortages
Breakthrough designations
Protecting the supply chain
Expedited reviews of drug submissions
More stakeholder involvement
Reducing drug shortages
Breakthrough designations
Protecting the supply chain
Expedited reviews of drug submissions
More stakeholder involvement
View Results
Eric Langerr Outsourcing Outlook Eric LangerTargeting Different Off-Shore Destinations
Cynthia Challener, PhD Ingredients Insider Cynthia ChallenerAsymmetric Synthesis Continues to Advance
Jill Wechsler Regulatory Watch Jill Wechsler Data Integrity Key to GMP Compliance
Sean Milmo European Regulatory WatchSean MilmoExtending the Scope of Pharmacovigilance Comes at a Price
From Generics to Supergenerics
CMOs and the Track-and-Trace Race: Are You Engaged Yet?
Ebola Outbreak Raises Ethical Issues
Better Comms Means a Fitter Future for Pharma, Part 2: Realizing the Benefits of Unified Communications
Better Comms Means a Fitter Future for Pharma, Part 1: Challenges and Changes
Source: Pharmaceutical Technology,
Click here