August 1, 2018

Grifols expands its plasma collection network by acquiring 24 Biotest centers in the United States

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The transaction aligns with Grifols' corporate strategy and enables the company to reinforce its donation-center expansion plan

  • Grifols acquires 100% of Biotest U.S. Corporation's shares for USD 286 million after obtaining approval by the Federal Trade Commission (FTC), the U.S. antitrust authority
  • The transaction aligns with Grifols' corporate strategy and enables the company to reinforce its donation-center expansion plan, initiated in 2015, to increase and diversify its access to its main raw material used to produce plasma-derived therapies
  • Grifols is the worldwide leader in plasma collection, with nearly 250 centers in the United States and Europe following the acquisition of the German firm Haema. Its strategic plan also includes building and managing plasma centers in China

Barcelona (Spain), August 1, 2018.- Grifols (MCE: GRF, MCE: GRF.P, NASDAQ: GRFS) has closed a transaction to acquire 24 plasma donation centers in the United States operated by Biotest Pharmaceuticals Corp., a wholly-owned subsidiary of Biotest US Corporation, for USD 286 million (EUR 244 million). Grifols financed the transaction with its own resources, without issuing debt.

Following this acquisition, Grifols will own 249 plasma donation centers to ensure access to its main raw material and increase its supply of plasma proteins used for therapeutic purposes. All of the newly acquired plasma donation centers are licensed by the U.S. Food and Drug Administration (FDA) and European health authorities. In 2017, these acquired plasma donation centers collected approximately 850,000 liters of plasma.

The agreement includes 24 collection centers, 2 plasma centers under construction and a series of other assets, among them, existing working capital amounting to approximately USD 40 million.

The transaction has been approved by all competent regulatory authorities.

By expanding and diversifying its network of donation centers, Grifols reinforces its global leadership position in plasma collection in alignment with its strategic plan. This transaction, coupled with the 2016-2021 capital investment plans for the Bioscience Division (endowed with more than EUR 500 million) will enable Grifols to meet the projected growing demand for plasma-derived medicines.

Grifols currently owns 214 centers in the U.S. and 35 in Europe following the acquisition of Haema, Germany's largest independent network of donation centers. Its overall strategy also includes an agreement to build and manage plasma donation centers in China with Boya Bio-Pharmaceutical, a leading Chinese manufacturer of plasma-derived medicines.

Osborne Clarke, S.L.P. acted as legal advisor for the transaction.