Blackstone Group in $3.3bn pharmaceutical deal(2)

Adding to its global pharmaceutical platform, the private equity giant has agreed to buy Ohio-based Pharmaceutical Technologies and Services.

The Blackstone Group has agreed to buy Pharmaceutical Technologies and Services, a contract pharmaceutical manufacturer and services provider, from Cardinal Health, a healthcare products and services provider based in Dublin, Ohio, for about $3.3 billion (€2.6 billion).
 
The deal includes Blackstone’s purchase of some of PTS’s subsidiary businesses that manufacture and package medications for pharmaceutical and biotech firms, Cardinal Health said in a statement. Those businesses have a total of about 10,000 employees who work at 30 global facilities. 
 
PTS makes oral and sterile medications and has patents for softgel fast-dissolve technologies used in many medicines. The company’s management team will remain in place following the completion of the transaction, said Blackstone’s Alex Erdeljan and Chinh Chu in the statement. Erdeljan is a senior advisor at the firm, and Chu is a senior managing director.
 
Blackstone made another notable investment in the pharmaceutical industry when it committed $50 million in Emcure, a Pune, India-based producer of raw materials used to make drugs, in August. That deal was the private equity giant’s first deal in India and came one year after it set up an office in Mumbai. Akhil Gupta is the head of that office.