Cinven expands clinical services footprint

Bioclinica acquisition deal marks the first investment with the Sixth Cinven Fund

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DOYLESTOWN, Pa.—Bioclinica, which offers specialized technology-enabled services to support clinical trials, is closing 2016 with a fourth quarter just as busy as the previous three. The company has entered a definitive agreement with Cinven under which it will be acquired by the international private equity firm. Once the deal closes, Dr. John Hubbard, president and CEO of Bioclinica, will continue in his current positions, with all executive officers also retaining their positions and reporting to Hubbard. This acquisition represents the first investment from the €7-billion Sixth Cinven Fund.
Bioclinica declined to comment on the deal prior to its closing, which is expected in the latter half of October. No financial details were disclosed.
The company—which was, prior to this acquisition, owned by Water Street Healthcare Partners and JLL Partners—went private in 2013, when JLL Partners acquired it for $123 million. Water Street Healthcare Partners and JLL Partners merged Bioclinica with CCBR-SYNARC, a leader in imaging analysis for both device and drug development programs, in 2014. Since then, Bioclinica finalized eight acquisitions and its customer base now includes more than 400 premier pharmaceutical, contract research organizations (CROs) and medical device companies, including all of the top 50 pharmaceutical companies and top 10 CROs.
“We are extremely pleased that our partnership with John and JLL achieved our goal of transforming Bioclinica into a high-growth global leader,” Peter Strothman, a partner at Water Street, commented regarding the transaction. “It is gratifying to see our combined work culminate in a sale that will deliver an outstanding return to our investors. We believe that Cinven will be an excellent partner with management as they continue to execute Bioclinica’s strategic plan.”
“It has been rewarding to work with Water Street and JLL Partners to build Bioclinica into an industry leader that offers exceptional scientific expertise and technology across a global service platform. They have been excellent partners in supporting our team to build a differentiated business that creates clarity and efficiency in the complex clinical trial process. We look forward to continuing to broaden our services and deepen our client relationships in partnership with Cinven,” added Hubbard.
This January, Bioclinica acquired Durham, N.C.-based Clinverse Inc., which automates and manages the financial lifecycle of global clinical trials for CROs and pharma companies. The company was added to Bioclinica’s eHealth Solutions business segment. In July, Bioclinica announced another acquisition, this time of Compass Research, a clinical research site network that gains Bioclinica “direct access to a number of specialized populations with neurodegenerative disorders and other diseases found in aging demographics,” as noted in a press release.
This year also saw Bioclinica restructure into three business segments: Medical Imaging and Biomarkers, eHealth Solutions and Global Clinical Research.
Hubbard noted in a press release that, “We are extremely excited about this new partnership with Cinven and see great things on the horizon for Bioclinica. We experienced tremendous growth under our prior partnership with JLL and Water Street, and look forward to leveraging the strategic leadership and investment that will come with Cinven. Bioclinica is on a quest to accelerate and bring clarity to clinical trials, and this move will help us achieve these goals.”
“Cinven’s global expertise, deep industry relationships and investment experience in the healthcare industry, including in the CRO sector with Medpace, make us the ideal partner for Bioclinica. This is an excellent opportunity to invest in a leading provider of technology-enabled services to the clinical trial industry with a collection of high-growth businesses across the globe. We look forward to supporting John and the exceptionally talented and experienced team at Bioclinica to develop the business in the years ahead,” said Alex Leslie, a partner at Cinven.
This deal boosts Cinven’s experience in the global clinical services market, following its acquisition of the Ohio-based Medpace for $915 million in 2014. Cinven took the CRO public this August in a successful IPO.

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