Je뉴원 Science Selected as Preferred Negotiator for Acquisition by Macquarie Asset Management

Negotiations Ongoing at Mid-to-High 700 Billion KRW Level

Macquarie Asset Management has reportedly been selected as the preferred bidder for the acquisition of Genewon Science.

According to the investment banking (IB) industry on the 2nd, IMM Private Equity (IMM PE) has designated Macquarie as the preferred negotiation partner. IMM PE and Macquarie are expected to enter an exclusive negotiation period until April 30, during which they will negotiate detailed transaction terms, followed by the signing of the final contract.

It is reported that a compromise is being reached at a level in the high 700 billion KRW range based on 100% enterprise value of Genewon Science.

Previously, IMM PE and the sale lead manager, Citigroup Global Markets Securities, had shortlisted five qualified bidders for the acquisition of Genewon Science, including Macquarie.

Genewon Science was established through the integration after IMM PE acquired Kolmar Pharma, a subsidiary of Kolmar Korea’s pharmaceutical division, in November 2020. IMM PE currently holds 100% of Genewon Science’s shares. The total investment amount at that time was 512.4 billion KRW, of which approximately 200 billion KRW was financed through acquisition financing.

Genewon Science recorded consolidated sales of 348 billion KRW and EBITDA of 55.8 billion KRW in 2022, representing increases of 12.4% and 32.9%, respectively, compared to the previous year. It is expected to continue double-digit growth last year, achieving sales of 400 billion KRW and EBITDA of 63 billion KRW.

Genewon Science’s high growth potential and cash generation capability have been key factors behind the successful sale. Genewon Science demonstrated an industry-leading bioequivalence (BE) study success rate of 94% from 2020 to 2022.