Permira signed a binding agreement to buy a 50% stake in Corin Orthopaedics Holding, a UK hortopaedics company controlled by Idea Opportunity Fund I (managed by Dea Capital Alternative Funds sgr), Hunt Capital, IP (Investimenti e Partecipazioni) and other investors. Corin’s ceo, Stefano Alfonsi, and his management team will keep on managing the company and will remain shareholders in Corin together with Permira (see here the press release).
Headquartered in Cirencester, UK, Corin is an international orthopaedic company with a direct presence in a majority of the world’s orthopaedic markets. Corin aims to revolutionise orthopaedics by gaining, understanding and sharing insight at every stage of the arthroplasty experience. This unique combination of shared knowledge and clinically-proven implants delivers better outcomes and maximise healthcare value for patients, surgeons and healthcare providers.
Corin reached 100 million pounds in revenues in 2017 with 20 million pounds in ebitda, Reuters writes, adding that this year the company might reach 120 million pounds in revenues with a 24.7% ebitda margin. Permira will support the company in its new growth phase after 5 years of double-digit growth since 2012, when Dea Capital, Hunt Capital and IP invested..
The transaction is expected to close in July 2018 following Antitrust approvals. The fund’s equity for the investment came from Permira’s dedicated global buyout fund Permira VI ( 7.5 billion euros, vintage 2016). Rothschild acted as financial advisers and Osborne Clarke as legal advisers to Corin. The Permira funds were advised by Vitale & Co, financial advisers, and Latham & Watkins LLP, legal advisers.
Te deal was led for Permira by Silvia Oteri, partner and member of Permira’s healthcare team. Permira has strong skills in the sector with a track record of 14 investments in healthcare companies.
Among the most recent investments in the healthcare sector by Permira are the following: Althea (ex Pantheon Group), a paneuropean leader in outsourcing management of medical technology that bought Italy’s TBS Group in July 2017 (see here a previous post by lBeBeez); I-MED Radiology Network, a leader in image diagnostics in Australia; LSNE, a pharmaceutical company focused on liofilization processes; Atrium Innovations, a global leader in innovative food products; PHARMAQ, a world leader in vaccines and therapeutic products for aquaculture; and Creganna Medical, global leader in the design and production of minimally invasive surgical instruments.
