Secondary Buyout • Life Science

NovaQuest, QHP Capital and Schroders Capital Acquire Azurity Pharmaceuticals

On March 26, 2018, private equity firm NovaQuest, private equity firm QHP Capital and asset manager Schroders Capital acquired life science company Azurity Pharmaceuticals from Ampersand Capital Partners

Acquisition Context
  • This is NovaQuest’s 3rd, QHP Capital’s 1st and Schroders Capital’s 1st transaction in the Life Science sector.
  • This is NovaQuest’s 3rd, QHP Capital’s 1st and Schroders Capital’s 1st transaction in the United States.
  • This is NovaQuest’s 1st, QHP Capital’s 1st and Schroders Capital’s 1st transaction in Massachusetts.

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M&A Deal Summary

Date March 26, 2018
Target Azurity Pharmaceuticals
Sector Life Science
Buyer(s) NovaQuest
QHP Capital
Schroders Capital
Sellers(s) Ampersand Capital Partners
Deal Type Secondary Buyout
Advisor(s) TAP Advisors (Financial)

Target Company

Azurity Pharmaceuticals

Woburn, Massachusetts, United States
Azurity Pharmaceuticals is a privately held, specialty pharmaceutical company focusing on the development and commercialization of value-added proprietary drug products and technologies in the prescription compounding sector of the pharmaceutical industry. Azurity Pharmaceuticals was founded in 1998 and is based in Woburn, Massachusetts.
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Buyers Overview 3

Buyer

NovaQuest

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 2010
PE ASSETS 3.0B USD
Size Large
Type Sector Focused
DESCRIPTION

NovaQuest Capital Management is a private equity firm focused on acquiring and investing in growth-stage middle-market healthcare companies. Specific areas of interest include life science, medical technology, healthcare/facility services, and healthcare focused IT. The Firm targets profitable companies valued up to $500 million with $20 to $100 million of revenue. NovaQuest Capital Management was established in 2000 and is based in Raleigh, North Carolina.


Deal Context for Buyer #
Overall 3 of 14
Sector: Life Science 3 of 8
Type: Secondary Buyout 1 of 2
State: Massachusetts 1 of 1
Country: United States 3 of 11
Year: 2018 2 of 5
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2018-01-03 Mycovia Pharmaceuticals

Durham, North Carolina, United States

Mycovia Pharmaceuticals is a biopharmaceutical company that embodies the community’s commitment to innovation in the life sciences. We believe in treatment equality and supporting those who suffer from medical conditions that have not been addressed adequately. Mycovia Pharmaceuticals was founded in 2018 and is based in Durham, North Carolina.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2018-05-14 Clinical Ink

Winston-Salem, North Carolina, United States

Clinical Ink is a clinical technology company that delivers data certainty from source to submission. Its Lunexis™ eSource platform with configurable Direct Data Capture, eCOA, ePRO, and eConsent modules enables real-time electronic data collection from sites, clinicians, and patients, streamlining workflows, reducing manual effort, and optimizing trial efficiency. Clinical Ink was founded in 2007 and is based in Winston-Salem, North Carolina.

Buy -
Buyer

QHP Capital

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 2022
PE ASSETS 3.0B USD
Size Large
Type Sector Focused
DESCRIPTION

QHP Capital is a private equity firm focused on healthcare businesses in the middle-market. Specific areas of interest include tech-enabled life sciences and pharma service companies. The Firm seeks to partner with management teams in founder or family-owned companies, and invests in buyouts and other transaction types. QHP Capital was founded in 2022 and is headquartered in Raleigh, North Carolina.


Deal Context for Buyer #
Overall 1 of 13
Sector: Life Science 1 of 6
Type: Secondary Buyout 1 of 3
State: Massachusetts 1 of 2
Country: United States 1 of 13
Year: 2018 1 of 2
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2018-10-31 Catalyst Clinical Research

Wilmington, North Carolina, United States

Catalyst Clinical Research is a provider of staffing resources to the biotechnology, pharmaceutical and medical device companies for clinical trial needs. Catalyst Clinical Research was founded in 2013 and is based in Wilmington, North Carolina.

Buy -
Buyer
DESCRIPTION

Schroders Capital is a global asset management firm focused on a variety of investment strategies including real estate, infrastructure, private equity, private debt, and credit. Schroders Capital is based in London, England.


Deal Context for Buyer #
Overall 1 of 3
Sector: Life Science 1 of 1
Type: Secondary Buyout 1 of 1
State: Massachusetts 1 of 1
Country: United States 1 of 2
Year: 2018 1 of 1
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2023-02-09 United Structural Systems

Pleasant View, Tennessee, United States

United Structural Systems is a provider of foundation repair, crawlspace repair, and basement waterproofing services. The company manufactures and distributes foundation construction supplies. United Structural Systems Services was founded in 1994 and is based in Pleasant View, Tennessee.

Buy -

Seller Profile 1

SELLER

Ampersand Capital Partners

Wellesley, Massachusetts, United States

Investor Investor Investor Investor Investor


Category Growth Capital Firm
Founded 1988
PE ASSETS 3.0B USD
Size Large
Type Sector Focused
DESCRIPTION

Ampersand Capital Partners is a middle-market private equity group that concentrates on growth equity investment opportunities in the healthcare sector. The Firm looks to invest $10 to $100 million in businesses with $10 to $100 million of revenue. Specific areas of interests within healthcare include lab products, specialty diagnostic equipment, pharmaceutical outsourcing, and specialty pharma. Ampersand generally prefers to be the first and sole institutional investor. Ampersand was formed in 1988 and is based in Wellesley, Massachusetts.


Deal Context for Seller #
Overall 36 of 56
Sector: Life Science 14 of 26
Type: Secondary Buyout 4 of 6
State: Massachusetts 7 of 14
Country: United States 36 of 51
Year: 2018 3 of 6
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2018-03-26 MedPharm

Surrey, United Kingdom

MedPharm is a global provider of contract topical and transdermal product design and formulation development services. MedPharm is an expert at reducing risk and accelerating development times for generic and proprietary pharmaceutical customers through proprietary, industry-leading performance testing models. MedPharm was founded in 1999 and is based in Surrey, United Kingdom.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2018-06-01 Alcami

Wilmington, North Carolina, United States

Alcami is a fully-integrated end-to-end contract development and manufacturing organization. Alcami serves pharmaceutical and biotech companies of all sizes providing customizable and innovative solutions for analytical development, clinical to commercial sterile and oral solid manufacturing, packaging, microbiology, cGMP biostorage, environmental monitoring, and pharmaceutical support services. Alcami was founded in 1979 and is based in Wilmington, North Carolina.

Buy -