Secondary Buyout • Life Science

aPriori Capital Partners, Crescent Capital Group and The Blackstone Group Acquire Nycomed Pharma AG

On November 1, 2002, private equity firm aPriori Capital Partners, mezzanine finance firm Crescent Capital Group and private equity firm The Blackstone Group acquired life science company Nycomed Pharma AG from Nordic Mezzanine, Nordic Capital and ICG for 1.3B USD

Acquisition Context
  • This is aPriori Capital Partners’ 4th, Crescent Capital Group’s 2nd and The Blackstone Group’s 1st transaction in the Life Science sector.
  • This is aPriori Capital Partners’ 6th, Crescent Capital Group’s 7th and The Blackstone Group’s 90th largest (disclosed) transaction.
  • This is aPriori Capital Partners’ 2nd, Crescent Capital Group’s 2nd and The Blackstone Group’s 1st transaction in Switzerland.
Investment Fate
  • Nycomed Pharma AG was sold to a consortium of financial buyers in 2005.
  • Nycomed Pharma AG was sold to a publicly-traded strategic buyer in 2011 for 9.6B EUR.

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M&A Deal Summary

Date November 1, 2002
Target Nycomed Pharma AG
Sector Life Science
Buyer(s) aPriori Capital Partners
Crescent Capital Group
The Blackstone Group
Sellers(s) Nordic Mezzanine
Nordic Capital
ICG
Deal Type Secondary Buyout
Deal Value 1.3B USD

Target Company

Nycomed Pharma AG

Zurich, Switzerland
Nycomed Pharma AG is a manufacturer, marketer, and promoting a range of Rx and OTC pharmaceutical products in Europe. Nycomed offers hospital products and general practitioner medicines, as well as provides late-stage clinical development, and registration and marketing. Nycomed Pharma AG was established in 1986 and is based in Zurich, Switzerland.
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Buyers Overview 3

Buyer

aPriori Capital Partners

Investor Investor Investor


Category Private Equity Firm
Founded 1985
PE ASSETS 2.0B USD
Size Large
Type Sector Agnostic
DESCRIPTION

aPriori Capital Partners (formerly DLJ Merchant Banking Partners) is a middle-market private equity firm focused on middle-market buyouts in the US and Europe. Sectors of interest include healthcare, retail, consumer, energy, business services, and industrial. aPriori was originally established in 1985 and has offices in New York and Los Angeles.


Deal Context for Buyer #
Overall 18 of 56
Sector: Life Science 4 of 8
Type: Secondary Buyout 4 of 13
Country: Switzerland 2 of 3
Year: 2002 4 of 4
Size (of disclosed) 6 of 12
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2002-09-01 Seabulk International

Ft. Lauderdale, Florida, United States

Seabulk International, Inc. is a provider of marine support and transportation services. Seabulk is principally engaged in three main businesses: offshore energy support, marine transportation and towing.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2003-01-01 Pinnacle Gas Resources

Sheridan, Wyoming, United States

Pinnacle Gas Resources, Inc. is an independent energy company engaged in the acquisition, exploration and development of domestic onshore natural gas reserves. It focuses on the development of coalbed methane (CBM) properties located in the Rocky Mountain region. Pinnacle holds CBM acreage in the Powder River Basin in northeastern Wyoming and southern Montana as well as in the Green River Basin in southern Wyoming. Pinnacle Gas Resources was founded in 2003 and is headquartered in Sheridan, Wyoming.

Buy -
Buyer

Crescent Capital Group

Los Angeles, California, United States

Investor Investor Investor Investor Investor


Category Mezzanine Finance Firm
Founded 1991
PE ASSETS 48.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Crescent Capital is a provider of debt securities to middle-market companies. Crescent looks to issue senior bank loans, high yield bonds, mezzanine debt and distressed debt to fund a variety of needs. The FIrm's direct lending group looks to provide $10 to $30 million to sponsor-backed companies that generate $5 to $40 million of EBITDA. Crescent's mezzanine practice typically provides junior capital to support buyouts, recapitalizations, and refinancings. Crescent Capital was formed in 1991 and was originally known as TCW/Crescent Mezzanine. The Firm has offices in Los Angeles, Boston, New York, and London.


Deal Context for Buyer #
Overall 23 of 67
Sector: Life Science 2 of 2
Type: Secondary Buyout 6 of 25
Country: Switzerland 2 of 2
Year: 2002 8 of 8
Size (of disclosed) 7 of 15
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2002-10-02 Gate Gourmet Group

Zurich, Switzerland

Gate Gourmet Group is the world's largest independent provider of airline catering and provisioning services. It delivers daily on a global basis to more than 250 airline customers.

Buy Fr.1.1B
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2003-12-22 Sweetheart Cup

Owings Mills, Maryland, United States

Sweetheart Cup is a manufacturer and supplier of single-service foodservice and beverage-related products in paper, plastic, and foam. Sweetheart has three separate business units: Foodservice, Packaging, and Consumer. Foodservice provides products to independent and large national chain restaurants, schools, business and industry foodservice locations, hospitals, lodging, and recreation facilities. Packaging offers a variety of paper and plastic containers for cultured and dairy products. Consumer products, packaged in retail packs, are marketed for at-home consumption in both Sweetheart and private-label brands sold by leading retailers.

Sell -
Buyer

The Blackstone Group

New York, New York, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1987
PE ASSETS 394.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

The Blackstone Group is a global alternative investment management firm. The Firm's investment activities span real estate, secondary investments, hedge funds, credit, infrastructure, and private equity. Blackstone's private equity group targets opportunities globally including buyout acquisitions of established companies, development projects, growth equity financings, and industry consolidations. Sectors of interest include automotive, healthcare, chemicals, industrial, commercial property, lodging, communications, media/publishing, consumer & retail, packaging, consumer products, pharmaceuticals, energy, technology, entertainment, telecommunications, financial services, theme parks, food & beverage, and transportation. Blackstone's private equity real estate group looks for opportunities across North/South America, Asia, Australia/New Zealand, and Europe. The real estate group will consider both equity and debt investments. Areas of interest include healthcare, hotel, industrial, office, residential, and retail. The Blackstone Group was formed in 1987 and is based in New York, New York.


Deal Context for Buyer #
Overall 59 of 365
Sector: Life Science 1 of 9
Type: Secondary Buyout 3 of 90
Country: Switzerland 1 of 3
Year: 2002 5 of 6
Size (of disclosed) 90 of 185
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2002-09-01 Charter Communications

Stamford, Connecticut, United States

Charter Communications is a broadband communications company. Charter provides a full range of advanced broadband services, including advanced Charter Spectrum TV video entertainment programming, Charter Spectrum Internet® access, and Charter Spectrum Voice. Charter Communications was incorporated in 1993 and is based in Stamford, Connecticut.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2002-12-31 HMH

Boston, Massachusetts, United States

HMH is a learning technology company committed to delivering connected solutions that engage learners, empower educators and improve student outcomes. As a provider of K–12 core curriculum, supplemental and intervention solutions, and professional learning services, HMH partners with educators and school districts to uncover solutions that unlock students' potential and extend teachers' capabilities. HMH serves more than 50 million students and four million educators in 150 countries. HMH was founded in 1832 and is based in Boston, Massachusetts.

Buy $1.7B

Seller Profiles 3

SELLER

Nordic Mezzanine

Investor Investor Investor Investor


Category Mezzanine Finance Firm
Founded 1999
PE ASSETS 480M EUR
Size Middle-Market
Type Sector Agnostic
DESCRIPTION

Nordic Mezzanine is an independent provider of mezzanine financing for buyouts, growth capital needs, and capital restructurings. Nordic will consider opportunities in a broad range of industry sectors and generally looks to invest in Scandinavia, Germany, Austria, Switzerland, the Netherlands and Belgium. The Firm's target investment size is €10 to €40 million. Nordic Mezzanine was formed in 1999 and is based in Helsinki with an additional office in London.


Deal Context for Seller #
Overall 1 of 26
Sector: Life Science 1 of 1
Type: Secondary Buyout 1 of 10
Country: Switzerland 1 of 2
Year: 2002 1 of 1
Size (of disclosed) 2 of 6
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2002-03-01 Frigoscandia Distribution AB

Helsingborg, Sweden

Frigoscandia Distribution AB, a leading provider of temperature controlled logistics services, including transportation and warehousing.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2003-02-12 Paroc Group Oy AB

Helsinki, Finland

Paroc Group Oy AB is a mineral wool insulation manufacturers in Europe. The company develops, manufactures and distributes stone wool products for use by the building industry and other industrial applications.

Buy -
SELLER

Nordic Capital

Stockholm, Sweden

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1989
PE ASSETS 31.0B EUR
Size Mega
Type Sector Agnostic
DESCRIPTION

Nordic Capital is a private equity investment firm that targets mid to large-sized company investments located in Northern Europe as well as the US. Nordic seeks investments across a wide range of industries and prefers situations where there are 'opportunities for new industrial combinations, strategic repositioning, international expansion and operational improvements'. Nordic Capital was formed in 1989 and is based in Stockholm, Sweden.


Deal Context for Seller #
Overall 8 of 80
Sector: Life Science 1 of 6
Type: Secondary Buyout 1 of 22
Country: Switzerland 1 of 4
Year: 2002 1 of 1
Size (of disclosed) 8 of 18
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2002-01-01 S.A.T.S Sports Club AB

Stockholm, Sweden

S.A.T.S Sports Club AB provides fitness training services.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2003-01-01 Unomedical AS

Birkerod, Denmark

Unomedical is a leading provider of single-use medical devices with global operations. Within Hospital Care, Unomedical is one of Europe’s leading companies and it has strong niche positions overseas. Within Infusion Devices, Unomedical is a global market leader within infusion sets used by diabetics on pump therapy.

Buy -
SELLER

ICG

London, United Kingdom

Investor Investor Investor Investor Investor


Category Mezzanine Finance Firm
Founded 1989
PE ASSETS 33.4B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Intermediate Capital Group (ICG) is a global mezzanine finance firm. IGC looks to provide junior capital to support a wide range of transactions, including buyouts, debt restructurings, and development financing. The Firm generally invests alongside financial sponsors and management teams in transactions valued from €250 million to €1 billion. ICG was formed in 1989 and is headquartered in London.


Deal Context for Seller #
Overall 26 of 225
Sector: Life Science 1 of 9
Type: Secondary Buyout 6 of 86
Country: Switzerland 1 of 5
Year: 2002 4 of 4
Size (of disclosed) 17 of 74
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2002-10-01 Elis

Saint-Cloud, France

Elis is a provider of rental and cleaning of textile hygiene services. Elis was founded in 1883 and is based in Saint-Cloud, France.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2002-11-06 SR Technics Switzerland AG

Zurich, Switzerland

SR Technics is a world leading independent provider of technical services to commercial airlines with a turnover of €1 billion, serving leading lag carriers and low cost airlines around the world.

Buy €425M