The Riverside Company, a global private investor focused on the smaller end of the middle market, has signed a definitive agreement to acquire a controlling stake in BioDue S.p.A (BioDue), an Italian company specialized in the development, manufacturing and commercialization of food supplements, medical devices and cosmetics. Closing is subject to customary approvals by the competent regulatory authorities.
Founded in 1986 by the Benedetti family, BioDue is one of the leading dietary supplements and medical devices companies in Italy. The company provides customers with a full-service offering, ranging from raw material sourcing development and formulation, production, packaging and regulatory affairs, to commercialization. BioDue boasts a high-quality customer base including some of the largest pharma and nutraceutical companies in Europe, as well as five well-invested production sites.
Damien Gaudin, Partner of Riverside Europe, commented: “We are delighted to have signed this partnership with BioDue and look forward to working with the exceptional management team. BioDue operates in a large and resilient market with strong growth credentials, and the company represents an excellent foundation for pursuing growth in nutraceutical manufacturing and the branded pharma sector, both organically and through acquisitions.”
Riverside intends to pursue a pan-European buy-and-build strategy with BioDue, in what is a fragmented market, and already has several add-on targets under evaluation. At the same time, the firm will seek to enhance BioDue’s one-stop-shop offering and expand its breadth of product ranges across galenic forms and therapeutic areas.
Rafael Alvarez-Novoa, Partner of Riverside Europe, commented: “BioDue brings in-house R&D and lab analysis capabilities, as well as well-run, state-of-the-art production sites with excess capacity. In addition to pursuing add-on acquisitions and helping the business develop its product range, we also plan to enhance BioDue’s commercial approach to accelerate sales growth and drive operational excellence.”
Karsten Langer, Managing Partner of Riverside Europe, commented: “This investment in BioDue is an example of Riverside Europe’s dedication to our industry specializations, sitting at the cross-section of our Healthcare and Consumer Products & Services specializations, led by Mr. Gaudin and Mr. Alvarez-Novoa respectively. BioDue will benefit from Riverside’s extensive experience in the dietary supplements industry, where we have successfully invested in industry leaders such as Euromed and HealthTech Bioactive – both natural pharmaceutical ingredient manufacturers addressing the dietary supplements market.”
Vanni Benedetti, CEO of BioDue Group, commented: “The management team and I are extremely excited to re-invest alongside Riverside and work on a new chapter of BioDue’s history. We are truly convinced Riverside is the ideal partner to support our ambitious international expansion plans thanks to its global footprint, especially in Europe and the U.S., and deep healthcare experience. I would like to thank all the employees, collaborators, suppliers and clients for their support and trust.”
Working with Gaudin, Alvarez-Novoa and Langer on this deal for Riverside were Vice President Nandor Hajdu, Associate Mattia Gattesco and Associate Jaime García-Oliveros. Tomasz Glowacki acted as originator of the transaction.
Riverside worked with Allen & Overy as legal advisor, EY for financial, tax and HR matters, Bain & Company for commercial and market due diligence, Alvarez & Marsal for operational diligence and PwC for ESG diligence. Rothschild & Co acted as M&A and debt advisor for the firm.
BioDue has been supported by Ethica Group M&A Advisory team as financial advisor, Gatti Pavesi Bianchi Ludovici as legal advisor, Deloitte for vendor financial due diligence and Alonzo Committeri & Partners for vendor tax due diligence.