Warburg Pincus exits Zentiva

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Warburg Pincus has exited its investment in pharmaceutical company Zentiva. The firm has sold its 19.634 per cent stake in Zentiva (representing all of Warburg Pincus's remaining interest in Zentiva), while management and employees have sold a 4.507 per cent stake and former managers of Zentiva have sold a 0.734 per cent stake to Sanofi-Aventis.

As a result of this transaction Sanofi-Aventis has an approximate 25 per cent stake in Zentiva making it the company’s largest shareholder.

Following the transaction, Zentiva’s senior management will continue to own approximately 5.896 per cent of the company.

Zentiva develops, manufactures and markets branded generic pharmaceutical products. The company employs 4,200 people and has production sites in the Czech Republic, Slovakia and Romania.

Nick Lowcock, a partner of Warburg Pincus, said, ‘Since our investment in Zentiva in 1998, the company has evolved into the leading supplier of branded generic pharmaceuticals in its core markets. We are extremely proud to have been associated with the success created by Jiri Michal and the rest of Zentiva’s talented management team over the past eight years.

‘Zentiva is an exemplar of Warburg Pincus’ long-term, growth-oriented investment approach, focused on facilitating sustainable value creation. We are confident that, together with Sanofi-Aventis as the company’s largest shareholder, Zentiva is very well positioned to continue that success in the future,’ Lowcock continued.

Warburg Pincus currently has approximately $12bn under management and an additional $6bn available for investments in various sectors including healthcare, consumer products and industrial, financial services, information and communication technology, media and business services, energy and real estate.

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