PCI Pharma Services explores $1 billion sale - sources | Reuters - Firstpost
You are here:

PCI Pharma Services explores $1 billion sale - sources | Reuters

#Argentina   #article   #Business   #Europe   #India   #markets   #science  


PCI Pharma Services, a U.S. provider of outsourced packaging and clinical trial supply services to the pharmaceutical industry, is exploring a sale that could value it at around $1 billion, including debt, according to people familiar with the matter.

PCI's private equity owner, Frazier Healthcare Partners, has hired RBC Capital Markets to identify and approach potential buyers, including other buyout firms, the people said on Monday.

PCI currently has annual earnings before interest, tax, depreciation and amortization (EBITDA) of about $100 million, the people added, asking not to be identified because the sale process is confidential.

A spokesman for Frazier Healthcare declined to comment. RBC Capital Markets and PCI did not immediately respond to requests for comment.

Based in Philadelphia, PCI provides drug development, manufacturing, clinical trial supplies and commercial packaging services to some of the world's largest global pharmaceutical manufacturers. It operates facilities across North America and Europe.

PCI was formed in 2012, when Frazier acquired the packaging operations of Blackstone Group LP's (BX.N) Catalent Pharma Solutions Inc. A year later, Frazer acquired the contract packaging business of AmerisourceBergen Corp (ABC.N) and merged it with PCI. PCI diversified into clinical trial services with its acquisition in 2014 of Britain's Penn Pharmaceutical Services Ltd.

The PCI sale process comes amid a flurry of deal-making activity in the clinical outsourcing sector. In recent months, Pharmaceutical Product Development LLC, InVentiv Health Inc and eResearch Technology Inc have all explored either sales or initial public offerings, Reuters has previously reported.

Envision Pharma, another U.S. pharmaceutical outsourcing company, has hired investment bank William Blair to explore a sale that could value it at around $500 million, including debt, based on annual EBITDA of around $50 million, separate sources familiar with that situation said.

Envision Pharma and William Blair did not immediately respond to requests for comment.

(Reporting by Greg Roumeliotis and Carl O'Donnell in New York; Editing by Cynthia Osterman)

This story has not been edited by Firstpost staff and is generated by auto-feed.

First Published On : Mar 8, 2016 04:15 IST

Comment using Disqus

Show Comments