30 July 2018
Paragon signs definitive agreement to acquire the specialty pharma Business UCB Innere Medizin
In line with its strategic focus, UCB announced today that is has entered into a definitive agreement with Paragon for the sale of its subsidiary UCB Innere Medizin (Innere Medizin).
Innere Medizin, which has been operating as a separate business entity since March 2016, has been successfully promoting pharmaceutical products in Germany for many years, mainly to general practitioners and specialists in the internal medicine area for cardiovascular and respiratory diseases.
In line with its global strategy, this move will further enable UCB to focus on its core activities in the fields of neurology, immunology and bone diseases to provide the best solutions to patients suffering from severe diseases.
Paragon will manage Innere Medizin as a stand-alone company and will assume the entire staff of approximately 200 employees. Paragon plans to continue the current, successful business model and strategy, and plans to further develop and grow the business. Innere Medizin will operate under a new name, which will be announced shortly after closing, and remains headquartered at the “Creative Campus” in Monheim am Rhein, Germany.
“I am confident that Paragon is the perfect match to drive the development of Innere Medizin going forward. I thank the team for their valuable contributions at UCB and wish them the best of success for this new era as a fully independent organization”, said Johannes Leuchs, Head of Established Brands UCB. Karlheinz Gast, Managing Director Innere Medizin said “We appreciate UCB’s contribution to the success of Innere Medizin. Now, we are very enthusiastic and motivated to be joining the Paragon family and look forward to working with Paragon to drive the Innere Medizin business forward to new heights. This is an exciting opportunity for Innere Medizin and its employees.” Edin Hadzic, managing partner at Paragon comments ”We see great potential in the business of Innere Medizin and are looking forward to the upcoming next chapter. We have confidence in Karlheinz Gast and his team and are eager to further develop the company together.“
Subject to antitrust clearance, the transaction is expected to close by end of September 2018. Terms of the transaction are not announced. This agreement does not impact UCB’s 2018 financial guidance.
DC Advisory acted as financial advisor to UCB, Hengeler Mueller acted as legal counsel to UCB. Ebner Stolz acted as legal counsel, tax and financial advisor to Paragon.
UCB, Brussels, Belgium is a global biopharmaceutical company focused on the discovery and development of innovative medicines and solutions to transform the lives of people living with severe diseases in neurology and immunology. With more than 7 500 people in approximately 40 countries, the company generated revenue of € 4.5 billion in 2017. UCB is listed on Euronext Brussels (symbol: UCB).
Paragon is one of the leading independent private equity firms in Europe with approx. €650 million of equity under management. Paragon works closely with portfolio companies to achieve sustainable growth and operational excellence. The investment portfolio covers various industries and currently comprises 11 companies. Paragon was founded in 2004 and is based in Munich, Germany. For further information please refer to www.paragon.de.