Astorg, a pan-European private equity firm, has announced that it has signed a definitive agreement to acquire a majority stake in the Solabia Group, a global provider of biotech ingredient solutions, from TA Associates, an international private equity firm, which will reinvest in the company alongside Astorg. Together, Astorg and TA Associates will support Solabia in the implementation of its growth plan, focused on international development and innovation, through organic actions and external growth operations.
Founded in 1972, Solabia specializes in natural active ingredients for the cosmetics, nutraceutical, pharmaceutical and microbiological diagnostics industries. Drawing on cutting-edge biotech expertise - notably in fermentation, enzymatic synthesis, plant extraction and green chemistry - the company develops high-performance ingredients that meet specific formulation needs and enable its customers to develop differentiated products. Positioned in dynamic and resilient end markets, the company benefits from the growing demand for natural ingredients as substitutes for synthetic ones.
Headquartered in Paris, Solabia has eleven production sites and eight R&D laboratories worldwide, and employs over 900 people. It is one of the few independent natural active ingredient platforms to have reached critical mass, combining in-depth technological expertise with strong global distribution capabilities.
On the strength of solid fundamentals and double-digit growth over the past five years, the French SME intends to accelerate its international development - particularly in the USA and Asia - and pursue its innovation strategy. Astorg, TA Associates and Solabia's management team will work together in this new phase of growth.
"We are delighted to welcome Astorg as a strategic partner and to continue our successful collaboration with TA. Astorg combines in-depth sector expertise, a solid track record of value creation and an entrepreneurial spirit that resonates with Solabia's values and ambitions. Their support will be instrumental in accelerating innovation, strengthening our international presence and continuing to offer our customers high-performance scientific solutions."emphasizes Jean-Baptiste Dellon, Solabia's Chairman and CEO.
"Thanks to its unique positioning in a structurally growing market for natural active ingredients, its cutting-edge expertise in biotechnology and its sustained development trajectory, Solabia embodies the archetypal international B2B leader that Astorg is destined to support. We look forward to working with Jean-Baptiste and the Solabia team to drive the next phase of growth and value creation.says Nicolas Marien, Partner at Astorg and Paul Arhanchiague, Managing Director at Astorg.
Patrick Sader, Managing Director at TA, and Jérémy Dréan, Director at TA, add: "Since our initial investment in 2018, we have had the privilege of accompanying Solabia in its transformation into a benchmark integrated platform in the life sciences and healthcare sector, specializing in natural and biotechnological solutions. Under the leadership of Jean-Baptiste Dellon and his team, Solabia has enjoyed solid development, combining strong organic and external growth. We remain fully convinced of the company's long-term growth potential, and are delighted to continue this adventure alongside Astorg."
The transaction was carried out via Astorg VIII and represents the fund's ninth investment to date.
The transaction will be subject to the usual regulatory approvals and is expected to be finalized in the coming months. Financial terms were not disclosed.
Visual taken from the Solabia website.
