RALEIGH, N.C.—INC Research, LLC, a contract researchorganization privately held by Avista Capital Partners and Ontario Teachers'Pension Plan, has announced the acquisition of Kendle International Inc. Kendlewas acquired in an all-cash transaction with a total equity value of about $232million, or $15.25 per share. The two companies, once combined, will operate asINC Research, LLC, and will be led by James Ogle, Chief Executive Officer ofINC Research. The other management roles will be filled by Jamie Macdonald asChief Operating Officer; David Gill as Chief Financial Officer; John Potthoff,Ph.D., as President; Mark Roseman, DSc, as Executive Vice President of BusinessDevelopment and Marketing; and Neil MacAllister as Executive Vice President ofCorporate and Business Development and President of AVOS Consulting.
"Biopharmaceutical companies of all sizes are relying onoutsourcing partners earlier in the clinical trials process," said Ogle in a pressrelease. "This transaction has enhanced our value proposition to global drugdevelopers and given us a broader range of local operations with globaloversight, allowing us to maintain high standards and quality results."
Kendle brings a great deal of experience to the deal, as aCRO offering a full range of Phase I to IV services and with experience in over100 countries. The company describes its focus as being on "innovativesolutions that reduce cycle times for our customers and accelerate the deliveryof life-enhancing products to market for the benefit of patients worldwide." Byacquiring Kendle, INC Research now has approximately 5,000 employees over sixcontinents, further boosting it as one of the largest CROs.
This acquisitioncomes on the heels of INC Research's June 1 announcement of the acquisition ofanother CRO, Trident Clinical Research, now a wholly owned affiliate of INCResearch with operations in Sydney, Melbourne, Auckland, Brisbane, Mumbai andAdelaide. According to INC Research, the acquisition of Kendle is the ninthsuccessful acquisition for the company in 10 years.
A joint integration team has been set into motion by INCResearch in order to fully integrate INC Research and Kendle's employees,services and customers. The team will also work to ensure continued delivery onall current trials and maintain INC Research's advisory services andtherapeutic expertise.
In a Q&A supplement for its customers, INC Researchnoted that "acquiring Kendle presented a unique opportunity to develop a newforce in the industry by expanding our geographic size and scale—especially inLatin America and Asia, enhancing our therapeutic breadth and depth, andreaching new levels of operational efficiencies."
"INC Research and Kendle share a common culture aroundcustomer-centric, high-quality service delivery," INC Research told itscustomers.
The company also cited the recent trend of pharmas reducinghow many CROs they work with, noting that "with the addition of Kendle, INCResearch is now better positioned to participate in evolving drug developmentoutsourcing models that require broader capabilities and critical mass."
INC Research is a CRO with strength in global clinicaldevelopment programs and focused on therapeutics with expertise in severalindications, including cardiovascular, immunology, oncology, pediatrics,women's health and central nervous system. The company is headquartered inRaleigh.