Gerresheimer to acquire Centor for $725 million
Founded in 1968 and based in Perrysburg, Ohio, Centor is a manufacturer of plastic vials and closures for oral drugs in the prescription retail market. The US prescription industry is structured around the established pour-and-count system, whereby the exact number of prescribed oral drugs is delivered to patients in plastic vials.
Centor has a superior product portfolio, including Screw–Loc and 1-Clic, the two leading products in the US plastic vials market. Centor serves national and regional pharmacy chains, supermarkets and wholesalers.
Centor is a carve-out of Nemera Group, a former business of Rexam Healthcare divested in 2014. Centor’s annual revenue in 2014 amounted to $167m (pro forma).
The total consideration amounts to $725m cash-free and debt-free. The enterprise value underlying the transaction represents approx. 9.8x LTM June 2015 EBITA (pro forma). It will be an all cash acquisition which is fully debt financed. A quick deleveraging after the acquisition is expected driven by Gerresheimer’s high cash generation.
The closing of the transaction is subject to regulatory approval and expected during the fourth quarter of financial year 2015. The transaction is expected to be adjusted EPS accretive by a low double digits percentage already in financial year 2016. Centor will be integrated in the Plastics & Devices Division of Gerresheimer. ■