Pharmacia sells Biovitrum

Nordic Capital and Boston-based biotech investment specialist, MPM Capital have led a consortium of investors to acquire a majoritystake in Biovitrum, a Stockholm-based biotechnology companyowned by Pharmacia AB. Total value of the transaction is approximately SEK1.5 billion.

The capital will mainly finance Biovitrum’s operations by way of a capital increase while a smaller part will be used to buy shares directly from Pharmacia, which will remain a shareholder in the company.

In addition, the financing will provide the company with a solid base to push various commercial programmes of Biovitrum forward. Pharmacia intends to reduce its shares to around 20 per cent around the closing of the deal on August 1.

Additional investors in the round include H&B Capital, NextGear, Carnegie Asset Management, MPM BioEquities, ABN AMRO Ventures and Karolinska Investment.

“Biovitrum has unique competencies in both pharmaceutical and biopharmaceutical research and development. Its research in the field of metabolic diseases focuses on areas with unmet and growing medical needs. This, combined with a proven track record in developing biopharmaceuticals, was the main reason for making us decide to invest in the company,” said Toni Weitzberg, partner at Nordic Capital.

Biovitrum has around 9,000 employees and consists of three main business areas: a metabolic research and development unit, a recombinant protein development and manufacturing unit and a blood products (plasma) unit.