Praesidian has sold its investment in Biologos, a provider of sterile-filtered biological products for veterinary, pharmaceutical, and medical research applications, to Ampersand Capital Partners.
Biologos is a manufacturer of standard and custom cell culture media, reagents, buffers, and sera that are used, typically in a controlled environment like a petri dish or a flask, for maintaining cell viability, promoting cell growth, and conducting experiments in cell biology, molecular biology, and biotechnology research.
Cell culture media containing nutrients, growth factors, salts, and other components necessary for the survival, growth, and proliferation of cells in vitro. Different types of cell culture media are available depending on the specific requirements of the cells being cultured, such as mammalian, bacterial, or plant cells. Reagents – enzymes, dyes, antibodies – are used in biochemical and molecular biology techniques, such as cell staining, DNA extraction, protein analysis, and cell signaling studies. Buffers are used to maintain the pH level of the cell culture media within a specific range to maintain optimal conditions for cell growth and function. Lastly, sera refers to blood-derived fluids containing proteins, growth factors, and hormones, and other biochemical compounds necessary for cell growth.
Since its founding in 1976, Biologos has shipped more than seven million liters of its products worldwide to cell and gene therapy, biopharmaceutical, diagnostic, tissue processing, and animal health companies. Biologos, led by CEO Tony Bazarko, operates from a new and state-of-the-art 32,000-square-foot facility located 40 miles east of Chicago in Montgomery, Illinois.
“This is an exciting time at Biologos as we have experienced impressive growth thanks to our team’s ability to provide high-quality standard and custom biologics solutions for our customers,” said Mr. Bazarko. “Ampersand’s deep industry expertise, broad network, and capital resources will enable Biologos to accelerate its growth strategy through the development of new products and its expansion into new markets.”
Praesidian first invested in Biologos in November 2015 through its fifth investment fund, Praesidian Capital Bridge Fund LP. “We are proud to have been a part of Biologos’ journey and are pleased with the successful outcome of the investment,” said Jason Drattell, the founder of Praesidian. “The company’s dedication to providing superior products has solidified its position as a trusted leader in its field.”
Praesidian was founded in 2002 and has been an active provider of senior and subordinated debt along with growth capital to lower middle-market businesses in the United States, United Kingdom, Germany, and selectively in Northern Europe. The firm is headquartered in Oklahoma City, Oklahoma.
Post closing in partnership with Ampersand, Biologos will look to expand its capabilities, product lines, and geographic reach. As part of the transaction, Frank Witney, an industry veteran and Ampersand operating partner, has been named the chairman of Biologos, with Eric Lev and Mario Reto of Ampersand also appointed as members of the company’s board of directors.
“The investment in Biologos aligns well with Ampersand’s strategy of supporting growth-oriented life science organizations with a history of product innovation and customer excellence,” said Mr. Lev. “Under Tony’s leadership, we are confident in the team’s ability to continue its strong momentum and look forward to partnering together on this growth journey.”
Ampersand makes majority or minority equity investments of $10 million to $200 million in North America and Europe-based healthcare-related companies that have from $10 million to $100 million of revenue and at least $2 million of EBITDA. Ampersand is typically the first institutional investor in these companies. Sectors of specific interest within healthcare include laboratory products and services; contract manufacturing; pharmaceutical services; and specialty pharmaceuticals.
In August 2022, Ampersand – after just three months of fundraising – closed Ampersand 2022 LP, its eleventh primary fund with $1.2 billion in limited partner commitments. The firm’s earlier fund, Ampersand 2020 LP, closed in April 2020 with $690 million in limited partner commitments.
Ampersand was founded in 1988 and has offices in the Boston suburb of Wellesley, Massachusetts and in Amsterdam, Netherlands.
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