Kester Capital

Chiltern announces refinancing

02 July 2012

Lloyds Bank Wholesale Banking & Markets has financed a £41.7 million debt package to support the recapitalisation of Chiltern International, the GCP Capital and Czura Thornton backed global contract research organisation.

Based in Slough and founded in 1982, Chiltern provides a broad range of services relating to the outsourcing of clinical trials including end-to-end trial management, data collection and analysis, and industry resourcing to a global customer base in the pharmaceutical, biotech and medical device industries.

The business, which employs over 1,400 people and operates from offices in 24 countries, has extensive experience in the management of Phase II to IV clinical trials in a broad range of therapeutic areas and contract staffing solutions and has established preferred partner relationships with some of the world’s leading pharmaceutical companies.

With the support of GCP Capital, Czura Thornton and Lloyds Bank, Chiltern’s experienced management team will continue to focus on further enhancing its technical expertise, reliability and high quality customer service proposition globally, as well as identifying complementary, strategic bolt-on acquisitions in high growth territories.

Neale Broadhead, Managing Director at Acquisition Finance, said: “The growing complexity of regulatory approval and looming ‘patent cliff’, which will see companies seek to replace previously patent secured revenue streams by growing research and development spending, will result in pharmaceutical businesses increasingly turning to outsourced services suppliers.

“Chiltern is well positioned to capitalise on these conditions to enable further expansion, with its experienced, acquisitive management team, track record in supporting global clinical trials and stable revenue pipeline.

“The deal has enabled us to continue our long-term support for Chiltern, leading the recapitalisation of the business in recognition of the strong equity value generated in recent years.”