Piramal Acquires Coldstream LaboratoriesBy
Piramal Enterprises Limited (PEL) has invested $30.65 million toward acquiring Coldstream Laboratories Inc., a contract development and manufacturing organization focused on the development and manufacturing of sterile injectable products and based in Lexington, Kentucky. The transaction, which is through Piramal’s wholly owned subsidiary in the US, consists of $5.65 million for the purchase of the facility building that is currently leased to Coldstream and the rest is toward the purchase of 100% of the company's shares.
Coldstream was founded in 2007 and is majority owned by University of Kentucky Research Foundation, an affiliate of the University of Kentucky. The company specializes in clinical-trial to commercial-scale manufacturing of sterile liquid and lyophilized parenterals and injectables, which includes expertise in formulating and manufacturing high-potency and cytotoxic compounds, including antibody drug conjugates (ADCs). Revenues of Coldstream over the last three years were estimated revenues of approximately $13 million in 2014, approximately $13 million in 2013, and approximately $9 milllion in 2012. Coldstream currently employs 91 people.
Commenting on the acquisition Vivek Sharma, CEO of PEL's Pharma Solutions business said in a company statement: “Coldstream is a very high quality operation and has been able to build significant customer relationships and track record for sterile products. We see this as a great platform for growth in our Pharma Solutions business. This acquisition allows PEL to move further into the injectable market segment and should have strong synergy with our existing Pharma Solutions business. Our strong capabilities in sterile product development and in ADC product segment will allow us to offer an integrated solution to our customers.”