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CVC and Temasek to buy Alvogen


Robert Wessman, former CEO of Actavis

Robert Wessman, former CEO of Actavis

Robert Wessman, former CEO of Actavis

European private equity fund CVC and Singaporean sovereign wealth fund Temasek are to buy a controlling stake in the pharmaceutical firm Alvogen, its chairman and chief executive said.

Robert Wessman (inset), former CEO of Actavis, founded the New Jersey-based generic drugs firm in 2009.

The size of the stake the consortium purchased was not disclosed, but the deal values the company at around $2bn (€1.76bn), a source familiar with the matter said yesterday.

The transaction is the latest sign of the hectic pace of deal-making in the healthcare sector, which has seen more than $250bn of mergers and acquisitions so far this year, up nearly two-thirds from a year ago, according to Thomson Reuters data.

Wessman sold a stake in Alvogen to the private equity fund Pamplona in 2014. The new owners also include US investment group Vatera Healthcare Partners. Wessman and Pamplona will retain a stake.

The fast-growing company currently has 350 generic products on the market and has been pushing into the Asia-Pacific region with several acquisitions, including that of South Korea's Dream Pharma last year.

"We have grown from a small base in the US back in 2009 to a global player with operations in 35 countries," Wessman told Reuters. "Our growth has been 76pc a year in the past six years, a majority being organic, but with access to network and capital from our partners you should expect to see more acquisitions." (Reuters)

Irish Independent