Recipharm acquires Lusomedicamenta for SEK 1 billion
The Pharmaceutical Contract Development and Manufacturing Organisation, Recipharm AB (publ) has acquired Lisbon based CDMO Lusomedicameta Sociedade Técnica Farmacêutica S.A.
Lusomedicamenta, together with its subsidiary, had twelve month revenues and adjusted EBITDA for non-recurring items to end September 2014 of EUR 50.7million (SEK 456.3 million) and EUR 12.7 million (SEK 114.3 million) respectively representing an adjusted margin of 25%.
The combined entity will enhance Recipharm’s scale and profitability. Based on LTM September 2014, the combined revenue and EBITDA (pre-Corvette) is SEK 2 725 million and SEK 446 million respectively.
The transaction values Lusomedicamenta at an enterprise value of EUR 112.3 million (SEK 1 040 million), which represents an adjusted EBITDA multiple of 8.8 based on LTM September 2014. The preliminary net debt is neglible.
The consideration has been paid in a combination of cash and newly issued RECI B shares. This represents EUR 67.1 million (SEK 621.6 million) in cash and 3 500 000 RECI B shares at a value of EUR 43.9 million (SEK 406.0 million). A further supplementary payment of EUR 1.3 million (SEK 12.0 million) will be paid in 2015 subject to the final 2014 performance of Lusomedicamenta.
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