May 2022

Ampersand-backed Alliance Pharma to acquire LGC’s Drug Development Solutions Business (“DDS”) and welcomes KKR as joint shareholder

Alliance Pharma, a US-based Bioanalytical CRO and an Ampersand portfolio company, has agreed to acquire DDS, a UK-based Bioanalytical Business Unit of LGC. KKR will become an equal shareholder in the combined business alongside Ampersand Capital Partners. Backed by Ampersand and KKR, Alliance and DDS plan to expand the company’s geographic reach, broaden its laboratory capabilities and expand its service portfolio. The transaction was approved by the regulatory authorities and completed on 13 July 2022.  

Alliance Pharma (“Alliance”), a global provider of large and small molecule bioanalytical services, provides a full suite of discovery Bioanalytical, DMPK, regulated bioanalysis, biomarker, LC-MS/MS, immunoassay, cell and gene therapy, and protein characterization assays. DDS is a European provider of Bioanalytical and Analytical and Materials Science Solutions to pharma, biopharma, consumer healthcare and consumer products clients, located in both Cambridge and Sandwich, UK.

Together, the combined entity will enable its clients to benefit from best-in-class international capabilities, particularly in the emerging areas of bioanalytical science such as cell and gene therapy and next-generation biologics.

Euan O’Sullivan, President and CEO, LGC, said: “I am proud of the scientific and commercial achievements delivered by the DDS business over the years, supporting customers in their mission to develop new medicines and products to improve the quality of life. I am confident that as part of the Alliance organisation, the DDS team will be well positioned for on-going success as part of a global business focused on bioanalytical and materials sciences activities.”

Eric B. Lev, General Partner at Ampersand Capital Partners, and Kugan Sathiyanandarajah, Managing Director at KKR, commented: “Alliance and DDS are highly complementary businesses with industry-leading management and scientific teams, and strong track records of supporting leading pharma and biopharma customers. We are delighted to be collaborating to bring together two well respected and fast-growing bioanalytical lab services businesses to create one of the leading global specialty bioanalysis platforms.”

KKR is investing in Alliance and DDS through KKR Health Care Strategic Growth Fund II, a $4.0 billion fund focused on investing in high-growth health care companies.