#Singapore #UCB #CBC Group #Mubadala

CBC Group's Strategic Acquisition of UCB's Mature Product Portfolio in China

In a significant move within the healthcare sector, CBC Group, Asia's leading healthcare-focused asset management firm based in Singapore, has announced the completion of its strategic acquisition of UCB's mature neurology and allergy business in China. In collaboration with Mubadala Investment Company, the Abu Dhabi-based global investment firm, this acquisition is valued at an impressive USD 680 million and marks a pivotal development in China's fast-evolving pharmaceutical landscape.

The newly established entity, named NeuroGen Pharma, stands as a symbol of innovation and progress in neurology treatment. NeuroGen Pharma will encompass UCB's well-regarded brands, including Keppra®, Vimpat®, Neupro®, Zyrtec®, and Xyzal®, along with the critical Zhuhai manufacturing site. This merger not only solidifies CBC's commitment to expanding its footprint in China’s rapidly growing healthcare market but is also expected to streamline access to much-needed neurology and allergy treatments in the region.

The move aligns perfectly with CBC's broader buyout strategy, aimed at acquiring key assets from leading pharmaceutical companies, thereby enhancing its operational capabilities and addressing the escalating demand for innovative healthcare solutions. Fueled by a market potential that boasts a size of approximately USD 33 billion, the acquisition underscores CBC's investor-operator approach, which emphasizes creating sustainable value and improving patient outcomes through its integrated healthcare ecosystem.

CBC Group's CEO, Fu Wei, articulated the vision behind this acquisition, stating, “We see clear opportunities within the regional healthcare landscape to effectively address patients' unmet medical needs.” He expressed enthusiasm about partnering with Mubadala again, highlighting that their combined expertise would not only bolster operational efficiencies but also facilitate groundbreaking initiatives in Central Nervous System (CNS) therapeutics.

Under the guidance of an experienced management team, NeuroGen Pharma is set to leverage advanced therapies and extensive research capabilities to enhance the treatment landscape for neurology and allergy patients in China. The focus will be on integrating innovative therapies that yield measurable patient impact, representing a major leap forward in addressing the healthcare challenges faced in the nation.

In 2023, the combined net sales for the products acquired in this transaction met impressive figures of Euro 131 million, further demonstrating the market's potential and the demand for these essential medications. The collaboration with Mubadala also aligns with their shared mission of providing transformative medicines that address the pressing healthcare needs of the populace.

UCB remains resolute in its aim to launch innovative treatments in immunology, neurology, and rare diseases, even as it hands over its mature portfolio. Jean-Christophe Tellier, CEO of UCB, emphasized the company’s dedication to improving patient lives in China, reinforcing their commitment to innovation and collaboration with local partners.

As CBC Group continues to establish itself as a global leader in the healthcare investment sector, this acquisition stands as a testament to the firm’s strategic foresight. It not only augments their existing portfolio but also plays a crucial role in addressing the complex healthcare needs within the region. The future of NeuroGen Pharma appears promising, with its sights set firmly on delivering effective treatments that will enhance the quality of care for patients suffering from various CNS disorders and allergic conditions.

With a commitment to leveraging its investor-operator framework, CBC Group seeks to make an indelible impact on the industry, ultimately aiming to revolutionize access to medical care and support the evolving demands of healthcare systems across the globe.

This acquisition reinforces the notion that strategic partnerships within the healthcare sector can spur significant advancements in patient care, demonstrating how collaborative efforts can lead to groundbreaking innovations and improved health outcomes.