Catalent to Acquire Metrics Contract Services for $475 Million to Expand High-Potent Capabilities and Oral Development and
Metrics Contract Services (Metrics), a full-service specialty Contract Development and Manufacturing Organization (CDMO) with a facility in Greenville, North Carolina, will be acquired by Catalent, Inc., the world leader in enabling biopharma, cell, gene, and consumer health partners to optimise development, launch, and supply of better patient treatments across multiple modalities, for $475 million from Mayne Pharma Group Limited. Once completed, the acquisition will increase Catalent’s capacity to work with highly powerful compounds while enhancing its skills in integrated oral solid formulation research, production, and packaging to support customers in streamlining and accelerating their projects.
To a streamlined one-site solution, the 333,000 square foot Greenville facility offers comprehensive capabilities to accelerate and de-risk customer programmes from early development through commercial launch. The facility has undergone more than $100 million in capital improvements over the last five years, and as a result, it now has 16 manufacturing suites, 11 of which are equipped to handle highly potent compounds, along with two packaging lines that can accommodate a wide range of development and commercial supply programmes. The facility’s capacity to produce more than one billion oral solid dosage units annually is estimated.
“This acquisition will further expand Catalent’s ability to meet our customers’ expectations in fast-growing areas of the business and patient need. The experienced team and consistently improved, state-of-the-art facility in Greenville will provide Catalent’s customers with immediate, fit-for-scale capacity for in-demand highly potent drugs and other oral solid small-to-mid-size batch needs. This capacity is particularly important for customers with R&D pipelines featuring accelerated, orphan, and rare disease programs for oncology and other important therapeutic areas,”
said Dr. Aris Gennadios, Group President of Catalent’s Pharma & Consumer Health segment
“Over the past several years, Metrics has undergone a period of transformational change to expand its footprint and service offering, becoming a global end-to-end novel oral solid CDMO. Catalent, a global leader in advanced drug development and manufacturing, is well-positioned to continue to invest in and accelerate the growth of Metrics and we believe this transaction will be extremely positive for our Greenville team and customers,”
Scott Richards, Chief Executive Officer of Mayne Pharma
The new facility will seamlessly join Catalent’s market-leading oral development and manufacturing network, which already includes flagship sites for large-scale and controlled release oral solids manufacturing in Winchester, Kentucky; softgel development and manufacturing in St. Petersburg, Florida; and additional facilities with bioavailability enhancement technologies and intricate oral solids manufacturing platforms.
Subject to usual closing conditions, the transaction is anticipated to occur by the end of the current fiscal year, and the full team of over 400 individuals will join Catalent. The parameters of a long-term supply agreement between Mayne Pharma and Catalent have also been agreed upon. As a result, the Greenville facility will continue to produce a number of Mayne Pharma products. Catalent will use a combination of cash on hand, current credit facilities, and, depending on market conditions, maybe fresh debt financing to pay the purchase price for this all-cash acquisition. No financial activity is required for the acquisition to close.
