Brenntag Sells Biosector to Croda
Chemical distribution giant Brenntag has agreed to sell its Danish subsidiary Brenntag Biosector to UK specialty chemical company Croda for €72 million.
Karsten Beckmann, CEO Brenntag Europe, Middle East and Africa (EMEA), said while Biosector was very successful, it was a non-core business for the Essen-based company.
Headquartered in Ballerup and with a production site and warehouse in Frederikssund, Brenntag Biosector is an adjuvant specialist for human and veterinary vaccines. Its product portfolio comprises both aluminum-based and saponin-based adjuvants, which are widely used to increase the effectiveness of the vaccines.
Croda said the addition of vaccine adjuvants is “a natural extension” to the excipient delivery systems in its Health Care business.
“Biosector is a rare asset, in a high-value, fast-growing sector of the global pharmaceutical market,” said Croda CEO Steve Foots, adding that these adjuvants represent a niche, high-growth market, driven by increased healthcare spending alongside advances in biotechnology and the growing need for preventative treatments.
The transaction is expected to close by the end of 2018. On completion, Biosector will be integrated into Croda’s Health Care business within the Life Sciences sector.
The Snaith-based company said it will leverage its formulation and purification expertise to accelerate the development of Biosector’s rich pipeline of next-generation adjuvant systems.
