Blackstone Weighing Options for $1bn Ayumi Pharma, Sources Say

Blackstone is considering strategic options for Japanese specialty drugmaker Ayumi Pharmaceutical, according to people familiar with the matter.

The firm is exploring alternatives with potential advisers including an initial public offering and a sale, the people said. A transaction could give Tokyo-based Ayumi a valuation of at least $1 billion, the people said, asking not to be identified because the matter is private. The pharmaceutical firm has already drawn preliminary interest from companies in the industry and investment funds, the people said.

Considerations are preliminary and the New York-based firm could still decide to retain the asset for longer, the people said. Representatives for Ayumi and Blackstone declined to comment.

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Ayumi focuses on treatments for rheumatism and orthopedics. It was founded in 2015 through the merger of Santen Pharmaceutical Co.’s anti-rheumatic drug business and Showa Yakuhin Kako Co.’s pharmaceuticals business. Blackstone bought Ayumi from Japanese investment firm Unison Capital in 2019 for about 100 billion yen, one of the people said. It was Blackstone’s first private equity transaction to take a controlling stake in a Japanese firm.

Japanese medical wholesaler Toho Holdings Co. acquired a 20% stake in Ayumi in March, for an undisclosed amount.

Blackstone has been an active dealmaker in the pharmaceutical industry in Japan. Following the purchase of Ayumi, the US investment fund acquired Takeda Pharmaceutical Co.’s consumer health-care business in Japan for about $2.3 billion.

Source: BNN Bloomberg

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