Sigma-Aldrich Acquires Ultrafine to Enhance Fine Chemicals Capabilities
Wednesday April 14
ST. LOUIS - April 14 - Sigma-Aldrich Corporation (Nasdaq:
SIAL) announced today that it has enhanced its Fine Chemicals capabilities
to serve pharmaceutical and biotech manufacturers through its acquisition of
Ultrafine. Founded in 1984 and institutionally backed, Ultrafine is located
in Manchester, U.K. and is a leading supplier of contract chemistry services
for all phases of drug development to customers world-wide, with
capabilities ranging from fundamental research to GMP manufacturing,
including the ability to supply active ingredients for clinical trials.
Ultrafine's life science catalogue also currently offers more than 130
products which enable its customers to expedite drug discovery and
development.
The acquisition is expected to add approximately one percent to
Sigma-Aldrich's otherwise reportable growth in the remaining quarters of
2004. Acquired operations are expected to meet or exceed the Company's
targets of 10% annualized, local currency growth over the next several years
and to be accretive to earnings in and after 2004, with no initial charges.
Terms of the purchase, which were not disclosed, were paid in cash.
Commenting on the acquisition, Frank Wicks, President, Sigma-Aldrich Fine
Chemicals said, "Ultrafine reinforces and enhances our Fine Chemicals
capabilities and is an ideal complement to our existing cGMP process
development and manufacturing facilities in the UK, USA and Switzerland.
Combining Ultrafine's medicinal chemistry skills and ability to rapidly
provide preclinical and early clinical phase GMP material with Sigma-Aldrich
Fine Chemicals' capabilities in process development and scale up, we are now
better positioned to meet the demands of the pharmaceutical industry for
high quality products and services through all stages of development,
enabling customers to get their new products to market more quickly."
John Fromson, Ultrafine's departing Chairman added, "As we have worked
through this transaction, I have found the two companies have the same
values and cultures. Joining our businesses makes the most sense for our
staff, providing them with enhanced opportunities for career progression,
and for our customers as it offers them a broader spectrum of development
support, particularly in manufacturing, where Sigma-Aldrich has
state-of-the-art facilities. I expect to see Ultrafine grow and prosper
under its new ownership."
Mike Harris, Ultrafine's Business Development head, added, "This will be
extremely beneficial to our customers, allowing us to provide continuous
support all the way from early drug discovery chemistry through process
development to full-scale API manufacture in world class facilities."
Fairmount Partners, a boutique life sciences investment banking firm out of
Philadelphia, PA, represented the Ultrafine investors in the transaction,
including 3I Group PLC and Renaissance Ventures LP.
About Sigma-Aldrich
Sigma-Aldrich is a leading Life Science and High Technology company. Its biochemical and organic chemical products and kits are used in scientific and genomic research, biotechnology, pharmaceutical development, the diagnosis of disease and chemical manufacturing. Sigma-Aldrich has customers in life science companies, university and government institutions, hospitals and in industry. Over one million scientists and technologists use its products. Sigma-Aldrich operates in 34 countries and has 5,900 employees providing excellent service worldwide. The company is committed to the success of its Customers, Employees and Shareholders through leadership in Life Science, High Technology and Service. For more information about Sigma-Aldrich, please visit its award-winning web site sigma-aldrich.com .
Principals of Fairmount Partners are acting as advisors to Ultrafine in connection with the acquisition.
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