Pharmaceutical film coatings maker Colorcon Inc. is acquiring Airnov Healthcare Packaging for an undisclosed price.
Airnov makes controlled atmosphere packaging for the health care market. The firm's products protect health care items such as cannisters, packets, integrated desiccant systems and specially designed plastic bottles for protection from moisture and oxygen. The business has manufacturing plants in the U.S., France, China and India and employs around 700.
Choisy-le-Roi, France-based Airnov is the previous health care packaging business of Clariant AG. It was sold to private equity firm Arsenal Capital Partners in late 2019. The sale to Colorcon is subject to French works council review and subject to necessary regulatory approvals.
Medical market veteran Peter Schmitt, a managing director with Montesino Associates in Wilmington, Del., said that the deal was “a natural expansion” for Colorcon.
“They’re looking to continue to move into upscale products and sell into higher-value markets,” he added. “It’s an interesting combination.”
In a news release, officials with Colorcon in Harleysville, Pa., said that Airnov "aligns well with Colorcon's portfolio and its purpose to improve health and wellness through convenience, compliance and safety."
The acquisition "presents a good match for our companies, as a key strength of Colorcon is the breadth of customer relationships across the pharmaceutical industry, including contacts at all levels in R&D, supply chain, and procurement," CEO Simon Tasker added.
Matthias Brommer, Airnov president and managing director, said that Colorcon's ownership "would bring improved geographic coverage and provide our customers added value through their pharma focus and complementary product portfolio."
No purchase price was disclosed. In 2019, the Private Equity Professional website reported that Arsenal paid $312 million for the business that became Airnov. That amount was 13.2 times the business’ adjusted EBITDA for 2018. The site also reported that the business had sales of $137 million in 2018.