In an interview with PharmaShots, Gilles Cottier, Chief Executive Officer of Aceto shared his views on the acquisitions of A&C and IsleChem to highlight the company’s growth strategy.
Shots:
- The acquisition of IsleChem has allowed the company to expand its manufacturing expertise in the US. Aceto currently has diversified access to a robust global supply chain network
- The acquisition of A&C increases Aceto’s GMP manufacturing, packaging, and ingredients offerings for the cell culture, vaccine, and biopharmaceutical industries, while also expanding its footprints in North America
- The company plan to continue its efforts to fortify R&D, manufacturing and enhance its product portfolio with future acquisitions, which will be made public upon acquisition completion or appropriate timing
Tuba: What are reasons of why Aceto acquired IsleChem not any other organization?
Mr. Cottier: The acquisition of New York-based, IsleChem establishes chemical manufacturing and R&D capabilities in the U.S. IsleChem’s core business include chemical manufacturing, contract research and development (R&D), analytical services, and technical and support services, all of which will complement our proven leadership in chemical sourcing, quality, and supply chain. By expanding manufacturing expertise in the U.S., Aceto diversifies access to a robust global supply chain network, complementing strategic relationships with other global manufacturers, particularly in India and China. The combination of Aceto and IsleChem will enhance Aceto’s established reputation for providing custom solutions to customers around the world. Immediately, we are tapping into IsleChem’s technical, analytical, and manufacturing expertise to expand our offering to customers across our portfolio. This acquisition also provides for future facility expansion to strategically address potential market growth and demand, allowing us to support our customers’ needs through all stages of the development process to successfully and efficiently bring their products to market.
Tuba: How this acquisition improves access, R&D capabilities for Aceto?
Mr. Cottier: Aceto began building R&D capabilities with its acquisition of Syntor in April 2020. The acquisition of Islechem doubles the R&D staff in total at Aceto and builds critical mass across two continents to more rapidly respond to customer challenges and requests The two R&D organizations are integrated and are immediately delivering value.
Tuba: Is Aceto planning for more such acquisition in same lines? Can we discuss more on the future acquisition and other investments Aceto is planning?
Mr. Cottier: Aceto has a long-term growth strategy to build upon our strong distribution platform, largely with manufacturing assets to deliver even more value to the markets we serve. As the company continues its track record of growth both organically and through acquisition, we will be working to diversify with attractive acquisition candidates that will allow us to enhance and grow our ability to be customer-centric, strengthen our management teams, bring unique capabilities to enhance our customer value proposition, expand Aceto’s geographic presence and enhance core capability in manufacturing and expand our Life Science Markets presence.
Tuba: What all other specialty chemicals and other products are expected to be part of the Aceto’s portfolio post this deal?
Mr. Cottier: Islechem manufactures a set of Phosphate Esters utilized primarily in coatings. Islechem is recognized for its high quality, consistency, and service with this portfolio. However, Islechem’s more significant strength is its ability to solve specific customer chemistry challenges, be it the scale-up of an intermediate or the development of a custom chemical. Islehem has and leverages the following key strengths to deliver value: Fluorination, Reactive metals, Halogenation, Hydrogenations, Cyanation, Polymerizations, Organometallics, Quantum Dots, Hydrogenations, Esterifications, Silylation, Condensations
Tuba: How does Aceto plan to expand access to India and China?
Mr. Cottier: While the IsleChem acquisition has allowed us to expand manufacturing expertise in the U.S., Aceto currently has diversified access to a robust global supply chain network. This deal complements strategic relationships with other global manufacturers, particularly in India and China.
Today, the company’s operations span nine countries including the US, China, India, France, Germany, Netherlands, and the Philippines. Our global network is staffed with teams that have extensive sourcing, warehousing, logistics, quality, regulatory, and compliance experience. This expertise allows us to provide clients the customer service, sales/marketing and overall administration support they need to develop and commercialize products. We have in-country expertise in both China and India, which is unique in the industry and enables enhanced communications, security, and integrity of our worldwide sourcing and regulatory capabilities.
Tuba: What does the acquisition of A&C mean to Aceto?
Mr. Cottier: The acquisition of A&C helps to drive Aceto’s growth strategy forward. We have a focused and intentional strategy in place to grow R&D, manufacturing capabilities, and our Biopharma and SpecChem product portfolio. The acquisition of A&C increases our GMP manufacturing, packaging, and ingredients offerings for the cell culture, vaccine, and biopharmaceutical industries, while also expanding our North American footprint.
Tuba: How does the acquisition help the company to grow its business and expand its footprints?
Mr. Cottier: A&C hasmanufacturing facilities and offices in the USA, Canada and Ireland. The US and Canadian offices gives US-based companies a North American option when sourcing materials for their product development. Having a U.S. footprint allows us to increase the global reach of our already robust supply chain and access to our diverse Biopharma, API and SpecChem product portfolio.
COVID, natural disasters, and the recent canal blockage have shined a light on just how globally connected our world is. A ripple in the supply chain is far-reaching and impacts product supply, development, and availability. Because Aceto has a strong global technical network with feet on the street around the world and strategic relationships with manufacturers in the United States and internationally Aceto has been able to ensure global supply chain security and manufacturing. Expanding our US footprint and enhancing our product offering in North America ensures we can serve our customers’ needs, where ever they are in the world.
Tuba: Highlight all the previous acquisitions that altogether allow you to bring new products globally.
Mr. Cottier: Across all of our recent acquisitions, including Syntor and IsleChem, Aceto can now offer customers an extensive selection of the highest quality and competitively priced products and services to help customers secure and optimize critical supply as well as bring new products to market globally.”
The most recent acquisitions include:
Syntor:
- The acquisition of Syntor in 2019 brought their synthesis and formulation capabilities to Aceto enhancing our existing services and expanding our value-added offerings in life sciences materials.
- With the addition of Syntor’s technical team, we can provide greater product customization in addition to supplying our current offering of high-quality, specialty materials.
- Syntor brought a portfolio of exciting, proprietary products developed in-house for many blue-chip customers in the life sciences, pharmaceutical, agrochemical, aroma, and electronics industries.
IsleChem:
The acquisition of New York-based, IsleChem establishes chemical manufacturing and R&D capabilities in the U.S.
- Aceto is tapping into IsleChem’s technical, analytical, and manufacturing expertise to expand our offering to customers across our portfolio.
- Expanding manufacturing expertise in the U.S., Aceto diversifies access to a robust global supply chain network, complementing strategic relationships with other global manufacturers, particularly in India and China.
- IsleChem’s core business includes chemical manufacturing, contract research and development (R&D), analytical services, and technical and support services, all of which will complement Aceto’s proven leadership in chemical sourcing, quality, and supply chain. The combination of Aceto and IsleChem will enhance Aceto’s established reputation for providing custom solutions to customers around the world.
- This acquisition provides for future facility expansion to strategically address potential market growth and demand, allowing us to support our customers’ needs through all stages of the development process to successfully and efficiently bring their products to market.
A&C
- The acquisition of A&C, a global GMP (Good Manufacturing Practices) manufacturer of specialty excipients, buffers, and process solutions allowing Aceto to increase the company’s GMP manufacturing, packaging, and ingredients offerings for the cell culture, vaccine, and biopharmaceutical industries, while also expanding our North American footprint.
- A&C solves customers’ technical, product, and regulatory challenges through GMP custom ingredient development, manufacturing, and packaging in the life science sector.
- With A&C, Aceto now provides customers greater access to critical raw materials and excipients used in synthesizing biologics, as well as enhanced support throughout the drug development process.
- With the acquisition of A&C, Aceto has materially expanded its self-manufactured and custom product offerings in the vaccine and biopharmaceutical space.
Tuba: Discuss your near-term plan with our readers (any upcoming announcement, deals. acquisitions, etc.)
Mr. Cottier: We plan to continue our efforts to fortify our R&D, manufacturing and enhance our product portfolio with future acquisitions, which will be made public upon acquisition completion or appropriate timing.
About Author:
Mr. Cottier brings more than 30 years of global leadership experience in life sciences, fine chemicals, and research chemicals. Most recently, he served as Head of Bioscience at Lonza. Previously, he had held numerous positions of increasing responsibility at Sigma Aldrich during his nearly 30 years there, including his role as Executive Vice President and President of SAFC Business Unit.
Related Post: ViewPoints Interview: Amolyt Pharma’s Thierry Abribat Shares Insight on AZP-3601 for Hypoparathyroidism
The post ViewPoints Interview: Aceto’s Gilles Cottier Shares Insight on the Acquisition of A&C and IsleChem first appeared on PharmaShots.
