Equistone invests in science with triple swoop
PRIVATE equity firm Equistone Partners Europe has announced three acquisitions with an enterprise value of $100m (£58m) and the creation of a new scientific services group called Concept Life Sciences.
In a deal led by Equistone’s Manchester office, the investment firm has taken a majority shareholding in Concept Life Sciences, which will be headquartered in Manchester with 550 staff based at 10 locations.
Concept Life Sciences has acquired: Peakdale Molecular a £9m turnover business based in Chapel-en-le-Frith; Resource & Environmental Consultants and Scientific Analysis Laboratories which have offices in Old Trafford, Manchester.
Headquartered in Manchester, the group is currently focused on laboratory based analytical testing and complex chemistry synthesis, with a view to accelerate investment in biological sciences, cell-based services, bio-storage and stability testing.
Executive chairman Michael Fort, the founder of biotech firm Synexus, and chief executive Alan Morgan will lead the business.
The deal was sourced by Equistone partner Steve O’Hare and investment director Andi Tomkinson, who both join the board as non-executive directors. The investment is the 21st from Equistone’s £1.5bn Fund IV.
Steve O’Hare, said: “”e’ve worked closely with the management team to develop the new group, whilst simultaneously making the foundation acquisitions, which have given entry into high growth markets.
“The company has established a strong presence nationally and created a platform to target international growth and expand its service offering to existing clients. We look forward to developing the business further through the execution of its buy-and-build strategy.”
Mr Morgan added: “The acquisitions are the first steps in building a comprehensive platform of services for our clients requiring science based innovative solutions.
“Our objective is to expand our capacity across a broad range of services adjacent to our current capabilities in life, food, and environmental sciences. We have an outstanding management team and substantial financial support with Equistone to expand through a mix of organic growth and targeted acquisitions.”
CLS chairman Michael Fort said: “Each of thecompanies we have acquired is a recognised leader in its field with an established client base. We believe these companies will experience growth at an even greater pace and see genuine benefit from being part of Concept Life Sciences.”
A team at Deloitte in the North West led by Andy Westbrook and Oliver Tebbutt advised Equistone. Lloyds Bank Commercial Banking and HSBC provided senior debt facilities.
Law firm Addleshaw Goddard advised Equistone, while DLA Piper advised the banks.
Tax advice was provided by PwC, while Deloitte carried out financial due diligence and EY commercial due diligence.
Altium and law firm Shoosmiths advised SAL and REC, while Diagnostic Capital advised Peakdale.
