Deal for Thornton & Ross will help it target further growth
THE £221m sale of Thornton & Ross to German drugs group STADA is set to act as a “platform for growth” and help it take strides in broader international markets.
Chairman Jonathan Thornton spoke of his sadness to be leaving the business which has been in family ownership for 90 years, but he said the Huddersfield-based company is in good hands as part of the STADA Group with its management team remaining in place and the future of the firm’s 400 staff secure.
“Many of the values that are so important to me are also evident within the STADA group, which ultimately was a major factor in making this decision to complete the transaction with STADA,” he said.
“STADA Group see the potential in our portfolio of products and have the resource and international reach to develop our business considerably. This acquisition will act as a platform for the growth of their business in the UK and they have reiterated their commitment to the business and its employees in this region.”
Thornton & Ross was founded in 1922 and has a turnover of almost £70m and is the UK’s largest independent producer of over-the-counter (OTC) pharmaceutical remedies such as Covonia, Setlers and Hedrin.
Mr Thornton, who is the grandson of one of the founders, Nathan Thornton, has been with the company for almost 30 years and been executive chairman since 2001.
Mr Thornton’s father Ralph had previously been managing director for more than 20 years.
David Frith, Anil Gupta, Matt Nicholson and Will Johnson of Deloitte provided lead financial advice to the shareholders of Thornton and Ross.
Legal advice came from an Eversheds team consisting of Robin Johnson, Charles Reynard and Simon Procter, Elizabeth Shepherd, Brett Rowland and Simon Evans.
David Frith, partner at Deloitte, said: “T&R is a huge Yorkshire success story and over the years has demonstrated a sustained record of growth, innovation and expansion.
“Deloitte has worked with the company over a number of years and is proud to have advised its shareholders as the business transitions to another important and exciting chapter of its development.”
Charles Reynard of Eversheds commented: “This is a significant deal, which will allow the business to prosper and expand. We wish all involved in the business the very best as the business takes new strides in broader international markets.”
Hartmut Retzlaff, chairman of the STADA executive board, added: “Thornton & Ross and STADA have so much in common, both being pharmaceutical manufacturers with a considerable tradition.
“We understand how emotional such a change is. It’s the outstanding work of its employees and its management that made Thornton & Ross a perfect match for us. So there is no need for change, everybody will stay on board. Thornton & Ross will remain Thornton & Ross, and will become a STADA centre of excellence for over-the-counter products.”
