iNova Pharmaceuticals
| Sector | HealthCare |
|---|---|
| Industry | Pharmaceuticals |
| Location | Asia Pacific and Africa |
| Investment Date | December 2006 |
| Original Deal Size | A$451m |
| Realisation Date | December 2011 |
| Realisation Deal Size | A$700m |
Company Description
Acquired from 3M, iNova Pharmaceuticals is a manufacturer and distributor of prescription and over-the-counter (“OTC”) pharmaceutical products in Asia Pacific and South Africa.
Investment Rationale
Major attractions of the opportunity were:
- Strong market positions across the core product range, with excellent brand and product recognition.
- Organic growth prospects existed by virtue of market segments (e.g. skin cancer, weight control) and / or geographic exposure (e.g. Asia).
- Diversified earnings provide a stable cash flow base to allow investment in growth.
- Established sales and marketing infrastructure was in place to create a significant and attractive opportunity to expand the product range through in-licensing and / or product acquisitions.
- Good exit prospects through an IPO or trade sale as the business continues to exploit its substantial growth opportunities.
Ironbridge Value Added
Ironbridge added value to iNova in several ways:
- We invested heavily in new products and in sales and marketing at iNova, leading to strong and consistent earnings growth.
- The Ironbridge Portfolio Team led a key project in 2009 to improve manufacturing margins and enhance supply chain reporting.
- The Ironbridge Portfolio Team led a comprehensive supply chain review that lowered risk and improved margins.
