Aesica Pharmaceuticals manufactures active pharmaceutical ingredients.

The business exports to major drug producers around the world.

In 2004 LDC completed a management buyout of Aesica Pharmaceuticals from its parent company BASF, for whom the operation had become non-core.

After the investment LDC and the management team began to introduce a programme of investment in the business' infrastructure to harness growth opportunities created by demand for outsourced pharmaceutical manufacturing.

Between 2005 and 2011 the business expanded existing manufacturing facilities, acquired five manufacturing sites in Kent, Germany and Italy which increased international reach and acquired leading specialist R5 Pharmaceuticals.

Under LDC’s ownership Aesica established itself as one of the top 12 pharmaceutical contract manufacturers globally. This success is reflected in turnover growth which rose seven fold from €250million to €180million in the seven years LDC supported the business. This growth had a major positive impact on headcount with the number of employees rising from 150(2004)to 1,300 (2011).

A successful exit in 2011 was secured through a secondary buyout funded by Silverfleet Capital. The deal delivered significant money multiple returns for LDC.

Aesica is a great example of how LDC’s private equity model can create sustainable growth which leads to wealth, jobs and job creation and has enabled a Newcastle-based manufacturer to establish a leading position in a global growth market whilst also returning a strong money multiple on LDC’s investment.
Managing Director, LDC