Permira is seeking to sell Cambrex, the U.S.-based contract drug manufacturer it took private in 2019, in a deal that could value the company at up to $4bn, the FT reports.

The move comes as contract drugmakers attract rising investor demand, fuelled by U.S. government pressure on pharmaceutical companies to reshore production. The Trump administration has threatened tariffs of up to 250% on imported medicines and issued executive orders designed to accelerate domestic manufacturing.

Cambrex operates 14 production sites worldwide, including seven in the U.S., and generates approximately $225m in adjusted annual earnings. The company specialises in producing active pharmaceutical ingredients and drug delivery components.

The auction process is being directed toward private equity sponsors, with Permira’s advisers contacting about a dozen potential buyers. The firm, which manages $80bn in assets, took Cambrex private at an enterprise value of $2.4bn in 2019, suggesting a profitable exit if the sale goes through.

The sector has seen heightened dealmaking, with Cambrex rival PCI Pharma recently valued at $10bn in a majority sale to Bain Capital. Other recent transactions include investments in Catalent and Avid Bioservices.

Permira and Cambrex have not commented on the potential sale.

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