RoundTable Healthcare Partners has completed the sale of Tower Holdings – including operating subsidiaries CorePharma, and Amedra Pharmaceuticals – and Lineage Therapeutics to Impax Laboratories for $700 million in cash. This transaction marks the fifth portfolio company sale from RoundTable’s $500 million Fund II and generated a return of more than nine times invested equity capital.
CorePharma – along with its affiliated companies Amedra and Lineage – is a pharmaceutical company focused on the development, manufacture and commercialization of complex branded and generic pharmaceutical products. The companies specialize in high value generic formulations including extended-release, delayed-release and DEA controlled substances and the marketing of niche brands including Albenza, Dexedrine, Daraprim, Adrenaclick epinephrine autoinjector and its authorized generic. CorePharma is headquartered in Middlesex, NJ (www.corepharma.com) and Amedra (www.amedrapharma.com) and Lineage (www.lineagetherapeutics.com) are headquartered in Horsham, PA.
“Tower’s management team – led by Chief Executive Officer, Christopher Worrell – did a tremendous job of growing the company’s revenue and profitability and expanding its product portfolio, while simultaneously solidifying its manufacturing, quality and regulatory operations,” said Jack McGinley, a Founding Partner of RoundTable and Chairman of the Boards of Tower and Lineage. “We believe that Impax will be an excellent strategic partner to help the companies achieve their next phase of growth.”
Impax is a specialty pharmaceutical company focused on the development of complex, high-value generics, and branded products that target central nervous system disorders and other select specialty segments. The company is headquartered in Hayward, CA (www.impaxlabs.com).
RoundTable Healthcare Partners is an operating-oriented private equity firm focused exclusively on the healthcare industry. RoundTable manages $1.9 billion in capital, including three equity funds totaling $1.5 billion and two subordinated debt funds totaling of $400 million. The firm is based in the Chicago suburb of Lake Forest (www.roundtablehp.com).
“RoundTable has been an exceptional partner for Tower and Lineage. They have supported strategic investments across all aspects of our operations and provided significant capital and transaction assistance for strategic acquisitions and product pipeline development,” said Tower CEO Christopher Worrell.
Credit Suisse Securities acted as exclusive financial advisor to Tower Holdings and Lineage Therapeutics and Sidley Austin acted as exclusive legal advisor to RoundTable in this transaction.
© 2015 PEPD • Private Equity’s Leading News Magazine • 3-10-15