International investor found for family-run pharmaceutical company
goetzpartners brings CapMan on board – and Medisorb becomes Russia's largest maker of generic drugs
goetzpartners successfully brought together the Russian family-run pharmaceutical company Medisorb with CapMan, a Finnish private equity fund worth 2.8 billion euros. CapMan’s minority interest enabled Medisorb to triple its production capacity and grow from being the largest maker of generic drugs in the region of Perm to being the largest in Russia.
From preparation to contract conclusion
To open Medisorb’s doors to the international investment scene, goetzpartners’ advisers helped the company restructure its accounting system to meet international standards. This step quickly revealed Medisorb to be an attractive company for investment. Thanks to its international network and its healthcare expertise, goetzpartners was able to present Medisorb’s investment case to around 40 international equity funds. With success – because just one month later, Medisorb had received term sheets from several first-rate investment funds.
goetzpartners then helped Medisorb compare the offers objectively and ultimately recommended CapMan as a reliable partner. The company’s professional support for the external auditors during the due diligence process and its role as an intermediary in the negotiations impressed both Medisorb and CapMan.
And goetzpartners’ industry experience was in demand again when the production system was selected: Medisorb decided in favor of a highly powerful system – and tripled its capacity.
- Pharmaceutical industry
CHALLENGES FOR CLIENT
- No access or experience with international investors
- Needed reliable partner for strong growth
- Prepare the investment case, especially the reform of Medisorb’s accounting methods
- Make contact with international private equity funds
- Recommend investors and support due diligence
- Term sheets from several international funds
- Minority investment enables production capacity to triple
- Medisorb becomes the leading Russian manufacturer of generic drugs