Kelso Pharma has secured more than £140 million of acquisition funding to support its expansion in the UK and across Europe.
The specialty pharmaceuticals business today (27) confirmed that a proportion of the funding was used for its acquisition of ALTURiX last month, a deal that doubled the size of the company’s UK business.
The remaining funds will be used to facilitate further acquisitions as the business, it said.
“We are committed to continuing to grow Kelso Pharma through a blend of company and product acquisitions, and this facility significantly enhances our ability to conclude transactions quickly and effectively,” said Dr Tom Stratford, chief executive of Kelso Pharma.
“The further expansion of the business will make an important contribution to our ambition to make Kelso Pharma a partner of choice for other pharma,” he added.
Currently, Kelso Pharma’s portfolio includes Stirling Anglian Pharmaceuticals in Glasgow, Velit Biopharma in Milan, and ALTURiX in Milton Keynes.
The funding package includes equity commitments arranged and managed by existing investor Apposite Capital and debt facilities provided by Kartesia.
FRP Advisory acted as Kelso Pharma’s advisor in the fundraising process.
Sam Gray, managing partner at Apposite Capital, expressed confidence in the company’s growth trajectory.
He said: “Ever since we backed the Kelso team to make their first acquisition we have been tremendously excited by the scale and ambition of Kelso Pharma’s growth aspirations and we are happy to have continued to play our part in providing the further funding that the business needs to deliver on that vision.”
New board appointment
In addition to securing funding, Kelso Pharma has appointed experienced pharmaceutical executive Graeme Duncan as a non-executive director.
Graeme Duncan
Duncan, the former CEO of ADVANZ PHARMA, brings extensive experience as a board director with both private equity and PLC expertise.
Commenting on his appointment, Duncan said: “I’m delighted to be joining the board of Kelso Pharma. They have done a tremendous job in building a team, portfolio and business operation that is well set for further growth and expansion.”
“I look forward to playing my part in helping the company on the next stage of its journey.”
Dr Stratford welcomed the appointment, stating, “Bringing Graeme onto the Kelso Pharma board also enhances our experience and expertise as we continue on our growth journey.”
Last month, Kelso Pharma appointed experienced pharma executive Giovanni Mauri as general manager at Velit Biopharma, its Italian-based subsidiary acquired in November 2023.
Sukhi Basra