Advent International and Warburg Pincus Complete Acquisition of Baxter’s BioPharma Solutions Business

October 2, 2023 |

4 min read

Advent International, one of the largest and most experienced global private equity investors, and Warburg Pincus, a leading global growth investor, announced the completion of their previously announced acquisition of Baxter International Inc.’s BioPharma Solutions business.

Newly established business to be named Simtra BioPharma Solutions

BOSTON & NEW YORK--(BUSINESS WIRE)-- Advent International (“Advent”), one of the largest and most experienced global private equity investors, and Warburg Pincus, a leading global growth investor, today announced the completion of their previously announced acquisition of Baxter International Inc.’s (NYSE:BAX) BioPharma Solutions (BPS) business. The business will now be a standalone contract development and manufacturing organization (CDMO) operating under the name Simtra BioPharma Solutions (“Simtra”) and will continue to offer customers the same solutions and capabilities to help ensure supply of critical pharmaceutical products worldwide. Under the terms of the definitive agreement, Baxter received $4.25 billion in cash, subject to certain closing adjustments.

Simtra will continue to operate as a leading provider of sterile contract manufacturing solutions, parenteral delivery systems and customized support services to the pharmaceutical and biotech industries. In partnership with Advent and Warburg Pincus, Simtra will become a fully independent, end-to-end CDMO providing a range of services for clients, from clinical development to commercial fill/finish. The Simtra team of approximately 1,700 employees will continue to operate manufacturing sites in Bloomington, Indiana and Halle, Germany, and the new company will establish a corporate headquarters in New Jersey.

“I am thrilled to lead Simtra through this exciting time, augmenting the strong legacy that the team has built as part of Baxter,” said Franco Negron, who was announced as CEO of Simtra in August 2023. “I look forward to collaborating with Advent and Warburg Pincus – two highly experienced investors within the healthcare space – to continue to grow Simtra’s mission-critical services across a variety of therapeutic areas. I am committed to delivering exceptional quality, service, and technical capabilities for our global customer-base, and am excited to partner with our dedicated Simtra team members as we begin this new chapter.”

“Companies across the pharmaceutical and biotech industries rely on Simtra for the premier contract manufacturing services and support services it provides,” said John Maldonado, a Managing Partner at Advent. “In partnership with Franco, the Simtra leadership team, and Warburg Pincus, we will strive to build on Simtra’s specialized capabilities and drive further product expansion that will ultimately benefit more patients with critical needs.”

“Simtra is well-positioned to accelerate its go-to-market strategy under the new brand, expand its drug development offering, and execute on capacity expansion,” said TJ Carella, Managing Director and Head of Healthcare at Warburg Pincus. “We are excited to partner with Franco, Advent and the impressive team at Simtra to accelerate this next phase of growth.”

Advent has been investing in the healthcare sector for over 30 years. Throughout this period, the firm has completed over 50 investments in 16 countries worldwide across a range of sub-sectors, including pharmaceuticals, life sciences and medical devices. Advent’s notable recent US healthcare investments include Iodine Software and RxBenefits, and the firm’s recent notable global pharmaceutical services investments include Bharat Serums and Vaccines, GS Capsule, ICE Group and Suven Pharmaceuticals/Cohance Lifesciences.

Since inception, Warburg Pincus has invested over $17 billion in more than 180 healthcare companies, including Summit Health, Modernizing Medicine, Ensemble Healthcare Partners, and Global Healthcare Exchange, and has been an active investor in life sciences, with notable investments in Polyplus, Norstella, Sotera Health, and Bausch + Lomb, among others.

About Advent International

Founded in 1984, Advent International is one of the largest and most experienced global private equity investors. The firm has invested in over 410 private equity investments across 42 countries, and as of March 31, 2023, had $95 billion in assets under management. With 15 offices in 12 countries, Advent has established a globally integrated team of over 290 private equity investment professionals across North America, Europe, Latin America and Asia. The firm focuses on investments in five core sectors, including business and financial services; health care; industrial; retail, consumer and leisure; and technology.

For over 35 years, Advent has been dedicated to international investing and remains committed to partnering with management teams to deliver sustained revenue and earnings growth for its portfolio companies.

For more information, visit
Website: www.adventinternational.com
LinkedIn: www.linkedin.com/company/advent-international

About Warburg Pincus

Warburg Pincus LLC is a leading global growth investor. The firm has more than $83 billion in assets under management. The firm’s active portfolio of more than 250 companies is highly diversified by stage, sector, and geography. Warburg Pincus is an experienced partner to management teams seeking to build durable companies with sustainable value. Founded in 1966, Warburg Pincus has raised 21 private equity and 2 real estate funds, which have invested more than $112 billion in over 1,000 companies in more than 40 countries. The firm is headquartered in New York with offices in Amsterdam, Beijing, Berlin, Hong Kong, Houston, London, Luxembourg, Mumbai, Mauritius, San Francisco, São Paulo, Shanghai, and Singapore. For more information, please visit www.warburgpincus.com. Follow us on LinkedIn.