Patricia Industries, a part of Investor AB, has signed an agreement with Audax
Private Equity to acquire the Canadian medical technology company LABORIE, which
focuses on the diagnosis and treatment of urologic and gastrointestinal
disorders that affect the daily lives of millions. LABORIE was founded in 1967
and has grown organically and through acquisitions from a leading manufacturer
of capital equipment for urodynamic testing into a fully-integrated medical
device company with a market-leading position in urology and a rapidly growing
gastroenterology business. LABORIE has an attractive, asset-light business model
with a high share of its revenue derived from recurring sales of proprietary
consumables. LABORIE’s global manufacturing, development and commercialization
capabilities create a solid platform for growth through organic and non-organic
expansion in core and adjacent markets, new geographies and further expansion
beyond diagnostics into therapeutic products. LABORIE will continue to be run by
its current management team, which will remain part-owners of the company.
LABORIE will be the most recent addition to the Patricia Industries portfolio of
high-quality growth companies, whose other healthcare holdings include Mölnlycke
Health Care, Permobil, Aleris and BraunAbility.
Fiscal year 2016 (ending March) sales were USD 117 m. with strong profitability.
Additional financial information about LABORIE, including the acquisition price,
will be disclosed upon completion of the acquisition.
“LABORIE will be a strong addition to Patricia Industries and marks another step
in our strategy to continue to build our portfolio of wholly-owned subsidiaries
in the Nordics and in North America”, comments Investor CEO Johan Forssell.
The acquisition of LABORIE is Patricia Industries’ first Canadian acquisition
and the second in North America since the inception of Patricia Industries in
2015. LABORIE will be a new subsidiary managed out of the New York office.
“LABORIE has successfully developed into a high-quality and highly regarded
provider of diagnostics products that help a vast number of people improve their
daily lives, and its culture and values fit very well with those of Patricia
Industries and Investor. Drawing from our experience and global network within
healthcare products and services, we believe that Patricia Industries is well
-positioned to support LABORIE in its continued progress in a number of areas.
We look forward to working together with LABORIE’s dedicated management and
employees to advance the company’s position further, to the benefit of its
customers, employees and owners”, comments Börje Ekholm, CEO of Patricia
Industries.
“We are excited to partner with Patricia Industries for the next phase of our
growth”, comments LABORIE President and CEO Brian Ellacott. “LABORIE is the
global leader in improving quality of life for patients suffering from urologic
and gastroenterology disorders. This investment will allow us to continue to
expand our global footprint as well as develop and bring to market innovative
new products that will improve outcomes for patients.”
The acquisition is subject to approval by the relevant competition authorities.
Closing is expected during the third quarter 2016.
Patricia Industries, a part of Investor AB, makes control investments in best-in
-class companies with strong market positions, brands and corporate cultures
within industries positioned for secular growth. Our ambition is to be the sole
owner of our companies, together with strong management teams and boards. We
invest with an indefinite holding period, and focus on building durable value
and capturing organic and non-organic growth opportunities.
LABORIE is an industry-leading manufacturer and supplier of pelvic health and
gastrointestinal equipment and consumables. Since its founding in 1967, LABORIE
has been committed to delivering innovative, complete solutions that provide
better diagnostics and treatment outcomes to patients worldwide. LABORIE is a
portfolio company of Audax Private Equity.
Since its founding in 1999, Audax Private Equity has been focused on building
leading middle market companies. Audax has invested over $3.5 billion in 99
platform and 498 add-on companies. Through its disciplined Buy & Build approach,
Audax seeks to help platform companies execute add-on acquisitions that fuel
revenue growth, optimize operations, and significantly increase equity value.
Audax Private Equity is an integral part of Audax Group, an alternative asset
management firm specializing in investments in middle market companies. With
offices in Boston, New York, and Menlo Park, Audax Group has over $10 billion in
assets under management across its Private Equity, Mezzanine, and Senior Debt
businesses. For more information, visit the Audax Group website
www.audaxgroup.com.
For further information:
Stefan Stern, Head of Corporate Relations, Sustainability and Communications,
Phone 46 8 614 2058, 46 70 636 7417
Magnus Dalhammar, Head of Investor Relations, Phone 46 8 614 2130, 46 73 524
2130
Our press releases can be accessed at www.investorab.com
Investor, founded by the Wallenberg family a hundred years ago, is the leading
owner of high quality Nordic-based international companies. Through board
participation, our industrial experience, network and financial strength, we
strive to make our companies best-in-class. Our holdings include, among
others, Atlas Copco, SEB, ABB, Ericsson and Mölnlycke Health Care.
