Larka

Carve Out

Customer Experience - Investment firm assessing its potential investment in a Big Pharma carve-out, aiming at selling APIs and offering Contract Manufacturing services.

 
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Big Pharma Carve Out On Its Way.

Context

An investment firm was assessing its potential investment in a Big Pharma carve-out, making several manufacturing sites a standalone company - Apollo, aiming at selling APIs and offering Contract Manufacturing services. This investment firm requested Larka to support their assessment, including API portfolio analysis, market trends identification, VDD review, R&D and manufacturing sites due-diligence.

Company Profile

  • European company
  • Over 1,500 employees
  • Above 500mn EUR of revenue
  • Over 150 generic APIs in catalogue

Larka's Scope Of Intervention

This assignment covered the following:

  • Apollo's APIs and portfolio analysis
    • API & final dosage forms assessment and forecasts- 5-year historical and 5-year forecast (volumes, value & rationales)
    • Trends for in-house manufacturing Vs. outsourcing
    • Recent consolidations or barriers to consolidation
    • CAPEX requirements
    • Competitors' profiles - size, financials, business models, recent acquisitions
  • Apollo's CMO services analysis
    • Market assessment
    • Apollo capabilities assessment & positioning
    • Key competitors capabilities assessment & positioning
    • Perceptual map & SWOT
  • Market cost structure and benchmark
  • Potential growth & exit
    • M&A targets identification & synergies
    • Potential strategic buyers

Conclusion

Larka business intelligence provided the client with a thorough knowledge of the target market and competitive environment so they could easily challenge each of the VDD data, identify key issues and define all scenarios that could create value.

Our customers kept working with Larka during the VDD review and due-diligence phase.

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