The German giant is one of the investors who wants to buy Mabxience, one of the companies that manufactures the AstraZeneca vaccine, in a process coordinated by Goldman Sachs.

Fresenius, the German giant that owns QuironSalud, wants to buy the biotechnology company of the Spanish company Insud Pharma: Mabxience, a company specializing in the research, development and manufacture of biosimilar products (drugs obtained from genetic engineering techniques). This type of medicine is highly appreciated in the health industry, as it not only focuses on suppressing the symptoms of a certain disease, but also seeks to prevent or delay its evolution. For example, Mabxience develops active ingredients for the treatment of different types of cancer. As financial sources have indicated to ‘El Periodico de España’, the owner of QuirónSalud is one of the best positioned candidates to take over this company, which is valued at around 1,000 million euros. Large international venture capital funds and family offices also participate in the process, according to the same sources.

Through this operation, the biotechnology company will obtain sufficient financial leverage to expand its business and continue developing new innovative products. Currently, it has three facilities in Spain and Argentina. In fact, from its plant in Buenos Aires, it manufactures the active ingredient of the AstraZeneca vaccine against the coronavirus that is used in Latin America. In line with this, the moment to launch this competitive process is not accidental, since investor interest in biotech companies has skyrocketed in the heat of the pandemic. For this reason, the owners of Mabxience hired the US investment bank Goldman Sachs last spring to sound out the market in search of possible interested parties. This profile of companies requires a lot of capital to allocate to innovation and the development of new drugs, so the entry of a specialized investor in your business can be an important step in your growth story.

Founded 12 years ago as the biotechnological unit of Insud Pharma, the former Chemo Group, Mabxience has worked since its inception to become a global benchmark company in the biosimilar drug niche. In this way, it is present in more than 70 countries around the world thanks to its global network of partners, with more than 30 alliances in Europe, the United States, Japan and other emerging markets. This important international presence is one of the aspects most valued by investors, who are increasingly looking for more businesses with diversified sales. Added to this is the growing demand in the health industry for biosimilar drugs, which can help reduce the bills of health systems around the world by offering preventive treatments based on genetic studies. On the other hand, these drugs begin to be developed when the patent of another is released, driving innovation in this industry, improving patient access to state-of-the-art treatments and reducing their cost. In addition to Mabxience, Insud Pharma has two other lines of business: Chemo, its traditional active pharmaceutical ingredient business, and Exeltis, a company specializing in women’s health. The group was founded more than four decades ago by Dr. Hugo Sigman and Dr. Silvia Gold, with a staff of more than 6,000 professionals worldwide today.

Boosting the health industry
In recent years, Spain has become one of the world’s leading powers in biotechnology, doubling its investment in 2020. However, while spending by the private sector (pharmaceutical companies or venture capital funds) has increased has skyrocketed in recent years, public investment has barely reached the figures for 2015. Moreover, according to data revealed by the biotech employers’ association Asebio, the aid provided in 2010 was double that of the previous year. In this line, the role of international investors is especially important, as they are allocating more and more resources to the Spanish biotechnology industry due to the high quality of the companies and the projects that are being developed. This strong investment appetite is essential for this industry, which year after year allocates more resources to R&D: in 2019, biotech companies invested 2,040 million euros to promote R&D.

Who is the German giant Fresenius?

Fresenius is an international healthcare group with a strong presence in Europe. In Spain, it became famous at the end of 2016, when it announced the purchase from the British fund CVC Capital Partners of QuirónSalud, the second largest national hospital group, for 5,760 million euros. At the beginning of this year, the German health group closed another well-known acquisition in Spain: that of the Eugin fertility clinics for 430 million euros. Hospital activity is managed through Fresenius Helios, but it has three other divisions: Kabi, specializing in drugs and technology for infusion, transfusion and clinical nutrition; Vamed, dedicated to the management and maintenance of medical equipment; and Medical Care, a company focused on the dialysis business.