Cosette Pharmaceuticals to acquire Mayne Pharma for $430M
This article originally appeared on NCBiotech's blog
Two pharmaceutical companies with operations in North Carolina are joining forces for a greater impact on women’s health.
Cosette Pharmaceuticals, based in Bridgewater, N.J., with a pharmaceutical production plant in Lincolnton, N.C., will acquire the Australian pharmaceutical company Mayne Pharma Group, which has its U.S. headquarters in Raleigh. Cosette will pay about $430 million for Mayne, or $7.40 Australian per share.
“This acquisition marks a transformational step for Cosette, adding patented, high-growth products to solidify our leadership in women’s health in the U.S. and expanding our reach globally,” said Apurva Saraf, president and chief executive officer of Cosette. “By combining Cosette’s strong portfolio with Mayne Pharma’s proven commercial expertise, the combined company will be well positioned to further invest in innovation, portfolio expansion and better serve our patients.”
The board of directors of both companies has approved the transaction, and Mayne Pharma’s board has unanimously recommended that its shareholders vote in favor of the transaction, which is expected to close in the second quarter.
“Joining the Cosette team amplifies our shared mission to improve lives through innovative and accessible women’s health and dermatology medicines,” said Shawn Patrick O’Brien, chief executive officer of Mayne Pharma. “This transaction represents a unique opportunity for our employees, customers, and patients. Together, we will extend the reach of important therapies, drive innovation, and improve patient access.”
Mayne Pharma, a publicly held company based in Adelaide, South Australia, has more than 480 employees worldwide. According to the North Carolina Biotechnology Center's company directory, between 50 and 100 employees work at its U.S. headquarters in Raleigh, just north of downtown, near Duke Raleigh Hospital.
Cosette, a privately owned company, has about 350 employees. Most of them work at the Lincolnton facility, according to NCBiotech’s company directory, which says at least 200 people work there.
Neither company disclosed what impact the acquisition might have on North Carolina staffing.
The combination of the two companies will create a larger, privately held company with a focus on women’s health and dermatology in U.S. and international markets. Upon close, Cosette will market 12 patent-protected products focused on women’s health and dermatology, including leading brands such as VYLEESI, INTRAROSA, NEXTSTELLIS, ANNOVERA, BIJUVA, IMVEXXY and RHOFADE, and several programs in clinical development.
The combined company will have two state-of-the-art manufacturing sites – one in Lincolnton and one in Salisbury, South Australia – to service patients globally.
The Lincolnton site has an embedded contract development and manufacturing organization (CDMO) that serves pharmaceutical clients. Its CDMO services include manufacturing, packaging, finished product releasing, microbial testing, product development, raw materials testing, scale-up, serialization/aggregation, stability programs and technical transfer.
Cosette has experience in manufacturing complex dosage forms including topical creams, ointments, oral liquids/solutions and suppositories.
Cosette is backed by Avista Healthcare Partners, a health care-focused private equity firm, and funds managed by Hamilton Lane, a private markets investment management firm.
