Cinven Takes Majority Stake in Medpace for $915 MillionMatthew Campbell and Kiel Porter
Private-equity firm Cinven Ltd. agreed to buy a majority stake in Medpace Inc., which helps pharmaceutical companies manage research and clinical trials, from CCMP Capital Advisors LLC for $915 million.
Medpace’s founder and chief executive officer, August Troendle, and other managers at the Cincinnati-based company will keep a minority investment, Cinven said in a statement today. New York-based CCMP, formerly a subsidiary of JPMorgan Chase & Co., bought Medpace in 2011.
Providers of services to pharmaceutical research and development arms are benefiting as the industry increases spending on clinical trials. Medpace focuses on smaller drugmakers, whose research spending is increasing the fastest, Cinven said. The company’s adjusted earnings before interest, taxes, depreciation and amortization stood at $94 million in 2013, according to today’s statement.
Barclays Plc and Wells Fargo & Co. advised Cinven, while Jefferies Group LLC and Fairmont Partners worked with Medpace.