Patheon Files for IPO
Patheon, one of the two largest CMOs in the bio/pharmaceutical industry, has filed a registration statement (S-1) with the US Securities and Exchange Commission for an initial public offering of its stock. No details on timing, price or number of shares have been provided as yet.
The S-1 reveals the transformation of Patheon since it went private in March 2014, integrated the assets of DSM Pharmaceutical Products, and undertook several mid-size acquisitions. For the fiscal year ended October 30, 2014, the company generated revenues of $1.7 billion; however, if the businesses had all been together for the entire fiscal year, revenues would have been $1.98 billion, split among dose manufacturing, API manufacturing, development services and non-pharma chemicals businesses. EBITDA, including multiple adjustments for non-operating factors, was $273 million (16%). The S-1 data does not include results from API manufacturer Irix Pharmaceuticals and delivery technology provider Agere Pharmaceuticals, both of which were acquired just recently.
Based on fiscal first quarter results, about two-thirds of Patheon’s business is for development and manufacture of dose forms (see figure below).
The S-1 is not very revealing when it comes to other aspects of Patheon’s operations and strategy. The statement does indicate that…
This article is reprinted from the June 2015 issue of Bio/Pharmaceutical Outsourcing Report. To learn more, click here.