Mallinckrodt Agrees to Sell Therakos® Business to CVC for $925 Million
Tuesday, August 06, 2024
Mallinckrodt plc, a global specialty pharmaceutical company, and CVC Capital Partners ("CVC"), a leading investment firm, have announced a definitive agreement in which CVC Capital Partners Fund IX will acquire Mallinckrodt's Therakos business for $925 million, subject to customary adjustments.
Therakos offers a fully integrated extracorporeal photopheresis (ECP) delivery system for autologous immunomodulatory therapy. Approved for use in the U.S., Canada, Europe, Japan, Australia, and Latin America, Therakos is the preferred platform among healthcare providers and patients for treating a variety of immune-related diseases. CVC, with its extensive expertise in healthcare and a global portfolio of life sciences businesses, plans to invest further in Therakos' research, development, and geographic and indication expansion.
As part of the agreement, key employees involved with Therakos will transition with the business and continue to support the product and its stakeholders.
On behalf of CVC's Healthcare team, Cathrin Petty and Phil Robinson said, "We see significant opportunities ahead to expand Therakos' indications, enter new geographies and bring this innovative treatment to more patients around the world. We look forward to working closely with the talented Therakos team and adding this best-in-class ECP system with an unparalleled efficacy, safety and tolerability profile to our portfolio of healthcare businesses."
"Today's announcement underscores our commitment to executing on our strategic priorities and creating value for our stakeholders," said Siggi Olafsson, President and Chief Executive Officer of Mallinckrodt. "This transaction provides the Therakos business with an ideal partner to invest in its continued growth, and we look forward to closely working with CVC to transition Therakos for the benefit of patients, healthcare providers, partners and employees. I thank the Therakos team for their ongoing commitment and dedication to improving the lives of patients."
Mallinckrodt intends to use net proceeds from the transaction to reduce its net debt by more than 50%. The transaction is expected to close in the fourth quarter of 2024, subject to regulatory approvals and other customary closing conditions.
Source: prnewswire.com
