This announcement contains inside information

Uniphar plc today announces the acquisition of BModesto Group

Dublin, London | 21 November 2022: Uniphar plc (the "Group") today announces the acquisition of BModesto Group ("BModesto").

BModesto is a Netherlands headquartered healthcare services business focused on improving access to pharmaceutical and healthcare products across the Netherlands, Germany, the UK and Europe.

BModesto offers a wide range of services including the distribution of medicines on both an exclusive and on-demand basis, clinical trial services, market authorisation holder and medical device distribution.

These services are targeted at a growing customer base comprising of pharmacies, hospitals, wholesalers and pharmaceutical companies. Delivery of these products and services is supported by a well-invested logistics infrastructure, including a modern distribution centre outside Amsterdam, that enables the processing of high volumes of product and efficient distribution across Europe. The BModesto team of over 180 people has, since its foundation in 2014, built up a strong international sourcing network to gain access to these much needed and often difficult to source medicines.

The acquisition will be integrated into Uniphar's Product Access division and will support the delivery of existing services into the strategically important European market. The BModesto platform, which Uniphar will continue to invest in, further accelerates our strategy of becoming a global leader in providing access to ethically sourced unlicensed and difficult to source medicines and the delivery of 'Expanded Access Programs' on a global basis.

BModesto generated EBITDA of €7.7m in 2021 and the acquisition is expected to deliver a Return on Capital Employed in line with Uniphar's target rate of 12%-15% within three years.

The purchase price includes an upfront payment of €51m, which will be funded from existing banking facilities, plus a deferred consideration payment of up to €24m contingent upon the achievement of EBITDA and Gross Profit based performance targets. The BModesto team recognises the enhanced opportunity to continue to grow the business as part of the Group and remains fully engaged as a core part of the global business going forward.

Commenting on today's announcement

Ger Rabbette, CEO of Uniphar said:

"BModesto is a significant addition to the Group, strengthening our Product Access offering in Europe and beyond. The acquisition is another step in achieving our strategy of becoming a global leader in the ethical provision of access to medicines which remain unlicensed at the point of care. It also provides a further boost to our capabilities in the provision of Expanded Access Programs for innovative new medicines. The company's strategic location, sophisticated sourcing, regulatory capabilities and broad access to key end markets strengthens our evolving global service offering and will allow us to make a positive difference in the lives of more patients. We are delighted to welcome the highly talented BModesto team to the Group."

Michael Hendriks, CEO of BModesto said:

"BModesto, like Uniphar, is a fast-growing ambitious organisation focused on delivering vital medicines and healthcare services to those who need it most. We share common goals which means we have an excellent cultural and strategic fit. Together, we believe we can become a global leader across our area of expertise and make a meaningful impact to patients' lives."

Navi Group acquisition

The acquisition of the Navi Group, as previously disclosed, is subject to approval by the Competition and Consumer Protection Commission (CCPC) and a decision is expected next month.

This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 ("EU MAR") and for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 ("UK MAR"), and is disclosed in accordance with the company's obligations under Article 17 of EU MAR and Article 17 of UK MAR. The date and time of this announcement is the same date and time that it has been communicated to the media.

The person responsible for arranging the release of this announcement on behalf of Uniphar plc is Aisling McCarthy.

For further details contact:

About Uniphar plc 

Headquartered in Dublin, Ireland, the Uniphar Group is an international diversified healthcare services business servicing the requirements of more than 200 multinational pharmaceutical and medical technology manufacturers across three divisions - Commercial & Clinical, Product Access and Supply Chain & Retail. The Group is active in Ireland, the UK, Europe, the US and Australia.

The Company's vision is to improve patient access to pharmaco-medical products and treatments by enhancing connectivity between manufacturers and healthcare stakeholders. Uniphar represents a strong combination of scale, growth, and profitability.

Commercial & Clinical

In Commercial & Clinical, the Group provides outsourced sales, marketing & distribution solutions to multinational pharmaceutical and medical device manufacturers. Active in Ireland, the UK, Benelux, the Nordics, Germany and the US, the Group is growing with its clients to provide pan-European solutions, with a targeted service offering in the US. Uniphar has built fully integrated digitally enabled customer centric solutions that are supported by our highly experienced and clinically trained teams, leveraging our digital technology and insights which allows us to deliver consistently exceptional outcomes for our clients.

Product Access

In Product Access, the Group is growing two distinct service offerings: 1) "On Demand", which are pharmacy led solutions for sourcing and supplying unlicensed medicines to meet the needs of both retail and hospital pharmacists; and 2) "Exclusive Access", which are manufacturer led solutions for controlling the release of speciality medicines for specifically approved patient populations in agreed markets. The Group currently delivers product access solutions on a global basis.

Supply Chain & Retail

Uniphar is an established market leader in Ireland with c. 53% market share in the wholesale/hospital market, supported by a network of 381 owned, franchised and symbol group pharmacies. The business supports the diverse customer base through the provision of strong service levels coupled with innovative commercial initiatives. Supply Chain & Retail is an Irish only business for the Group, although the manufacturer relationships and infrastructure are also utilised for the benefit of the Commercial & Clinical and Product Access divisions