Purchase is first since IPO, in April last year, and new mergers and acquisitions are expected

10/01/2022

---

Marcelo Rodolfo Hahn — Foto: Ana Paula Paiva/Valor

Blau Pharmaceuticals signed a contract to purchase 100% of the capital stock of Bergamo Laboratory, a subsidiary of the American Amgen, one of the largest biotechnology companies in the world, for $28 million. The acquisition is Blau’s first since its IPO, in April last year, and new mergers and acquisitions operations are likely to take place, according to the company’s command.

“The acquisition will increase our offer of oncological products, with an important increase in production capacity”, said Marcelo Hahn, CEO of Blau, to Valor.

Bergamo Laboratory reported net revenue of approximately R$185 million in 2021, according to Blau, and produced about 2.2 million units, with a portfolio of 19 products and about 190 employees. Founded in 1946, the laboratory was acquired in 2011 by Amgen.

Payment for Bergamo does not involve shares and will be made in cash upon the closing of the deal. The acquisition still needs to be approved by regulatory authorities such as the antitrust regulator Cade, which is expected to happen between 90 and 120 days.

“For us, it is an excellent opportunity. Bergamo Laboratory has biological products and specialized in oncology,” said the head of mergers and acquisitions of Blau Pharmaceuticals, Roberto Morais. “The biggest asset is the immediate increase in production capacity and some new oncology products, chemotherapy,” Mr. Morais said.

Bergamo Laboratory has one plant in Brazil, in Taboão da Serra, in the metropolitan area of São Paulo, very close to two other Blau’s plants, in São Paulo and Cotia, close to the capital. With the acquisition, Blau adds a unit to the other five it already has, in addition to the plant that will be built in the Suape Port Complex in Pernambuco state.

According to Hahn, Bergamo Laboratory will also add to Blau a good knowledge of the industry and a go-to-market model, a differentiated approach to commercialize oncologic products inside clinics and hospitals. According to him, Amgen has differentiated knowledge and works with innovative drugs, and with the acquisition, Blau also receives expertise in the commercial area.

The CEO also says that Blau is looking for new opportunities. The company carried out an IPO in April 2021 and raised R$1.26 billion. “We have never been so active in the area of mergers and acquisitions. We have many companies in our pipeline right now,” in various stages of negotiations, Hahn says. Blau is reinforcing its mergers and acquisitions team.

“We have a well-defined strategic plan. Besides opportunities and pillars for growth in the organic part, we want to increase our industrial park to increase our production capacity. We want to grow in the market and position ourselves as one of the major manufacturers in Brazil and Latin America. For this, we will depend on acquisitions”, according to Mr. Hahn.

The idea is to maintain the operation in Brazil and be able to supply South America and other countries. “In the business plan, we have investments in Brazil, the United States, and Europe for manufacturing”, says the CEO. According to him, in Latin America, there are offices, packaging, and quality control area, necessary in some countries, but the proposal is to centralize in a place with high production capacity and low operating costs.

Besides that, the company is investing in plasma collection centers in the United States. In June last year, it began the collection of plasma in the first center and is finishing the construction of the second, which may start operating by the end of this year, says Mr. Morais. According to him, the company already has defined the location of the third plasma center and is in negotiations for the fourth location, in the Florida region. Mr. Morais says that the company is on schedule for the IPO

“The feeling is that we are just beginning, we still have enough breath to grow, next year we have a public offering, and we will have a very strong investment in the coming quarters to continue growing and bringing value to shareholders,” says the CEO.

*By Cristiana Euclydes — São Paulo

Source: Valor International

https://valorinternational.globo.com/