European private equity major EQT Private Equity has agreed to sell Fertin Pharma to Philip Morris International for an enterprise value of DKK5.1bn (€685.9m) after growing its EBITDA by almost 50%.
EQT acquired a 70% stake in Fertin Pharma in 2017 when it was focused on medicated chewing gums to help customers quit cigarette smoking. Through R&D and product diversification it now offers a range of oral drug delivery applications including tablets that liquefy when chewed and fast or slow-dissolving tablets for controlled release. Revenues from products other than nicotine chewing gums rose from 3% at the time of acquisition to 20%.
Rikke Kjær Nielsen, partner within EQT Private Equity’s Advisory Team, said, “Since EQT entered in 2017, the strategy has been to develop the path for Fertin Pharma’s diversification journey. We are extremely proud of what we have accomplished together with the Bagger-Sørensen family, the board and the management team, taking the Company from a niche Nicotine Replacement Therapy champion to an international industry leader with a diversified portfolio of technologies and blue-chip customers in consumer health.
“We are confident that PMI will be a good long-term home for Fertin Pharma with their ambition to lead the transformation of the tobacco industry to create a smoke-free future – an ambition closely aligned with Fertin’s vision of supporting healthier living.”
EQT soared to a €15.6bn final close for its ninth flagship fundraise in April which was already between 40% and 45% invested when firm partner and co-head Per Franzén said the raise was “materially concluded” by September last year.
About 70% of commitments to EQT IX were made by investors in the predecessor fund, the firm said.
Copyright © 2021 AltAssets
PlatoAi. Web3 Reimagined. Data Intelligence Amplified.
