ETHYPHARM acquired by PAI PARTNERS
Context
PAI Partners has entered into a definitive agreement to acquire Ethypharm from Astorg Partners and its Belgian co-investor Sofina. The transaction followed a competitive auction process managed by Rothschild & Cie, where PAI reportedly outbid other major private equity firms and international pharmaceutical groups. The operation marks a successful exit for Astorg, which had held a 60% stake in the company since 2007. The strategic rationale for the acquisition centers on supporting Ethypharm's international expansion and its leadership in specialized therapeutic areas such as pain management and addiction treatment. The transaction was supported by an "all senior" debt financing structure composed of Tranche A and Tranche B facilities. This investment follows a period of significant growth for Ethypharm, which recently expanded its footprint in the United Kingdom through the acquisition of DB Ashbourne. PAI Partners intends to leverage the target's sophisticated galenic technology and established global partnership network to drive further organic and inorganic growth. The deal reflects a significant step up in valuation for the group, highlighting the increased market demand for specialized pharmaceutical platforms with high technical barriers to entry.
It is worth noting that the fund Astorg took control of Ethypharm through an LBO in 2007.
ETHYPHARM, which reported an EBITDA margin of in 2015, is valued in this transaction at an EV/EBITDA multiple of , representing a to the average currently observed in the Healthcare & Pharma sector (14.3x).
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Target
Headquartered in Saint-Cloud, Ethypharm is a specialized pharmaceutical group focused on the development and manufacturing of drug delivery systems and galenic forms. The entity maintains a strong therapeutic focus on the central nervous system, particularly in the treatment of pain and addiction, which accounts for nearly half of its total revenue. The business model is built on high-value clinical differentiation and an extensive international reach, with 66% of its commercial activity generated outside of France. The company operates through a global network of over 80 partners and maintains direct subsidiaries in key markets including the United States, Canada, the United Kingdom, Germany, and China. Historically, the firm has strengthened its portfolio through strategic acquisitions, such as Laboratoires Pharmaceutiques Dexo and the British specialist DB Ashbourne. Its value proposition centers on its specialized R&D capabilities and complex manufacturing processes that cater to global pharmaceutical standards.
Ent. Value
Equity Value
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EV / Revenue
EV / EBITDA
EV / EBIT
Historical Financials (EUR)
Other operations with ETHYPHARM
| Date | Acquirer | Target | Country | Sector |
|---|---|---|---|---|
| 04/2007 | ASTORG | ETHYPHARM | FRANCE | Pharma & Biotech |
REFERENCES
Valuation range: EV 500M - 1.5b EUR
Revenue range: 250M - 500M EUR
EBITDA range: 50M - 100M EUR
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Authors: This transaction was contributed by a verified mynth contributor and cross-checked against available transaction documents and official company communications.
Press release: view release
Target: ethypharm
Acquirer: pai partners