Target Overview

The newly acquired facility, located in Bentley, a suburb of Perth, Western Australia, will operate under the name NovaCina™ as a Contract Development and Manufacturing Organization (CDMO). NovaCina specializes in manufacturing sterile injectable drug products for various stages, ranging from development to full-scale commercial production. The facility boasts over nine production lines that cater to Oncology/High Potency, Blow Fill-Seal, and multi-format vial manufacturing, supported by a skilled workforce of more than 400 experienced team members. Plans are in place to expand service offerings and enhance expertise through the integration of state-of-the-art equipment and advanced analytical capabilities.

Brett Alderson has been appointed as the President of NovaCina. He brings over 25 years of experience from his tenure at Pfizer (Perth) Pty Ltd, where he served as Site Leader for the past five years, overseeing the production of more than 300 Oncology products in addition to a variety of sterile injectable medicines for both local and international markets. Alderson expressed his enthusiasm in leading the team, emphasizing their extensive scientific knowledge and a shared commitment to delivering exceptional quality products with agility and professionalism.

Industry Overview in Australia

The pharmaceutical industry in Australia has been experiencing significant growth, driven by government initiatives aimed at bolstering the health and medical sector. Various programs promote comprehensive pharmaceutical production, which encompasses research, development pipelines, and in-patient dosing. This push for drug sovereignty strengthens the country's capacity to develop and produce pharmaceuticals, with Australia positioning itself as a noteworthy leader in the global pharmaceutical manufacturing landscape.

Australia benefits from an advanced regulatory environment that supports industry growth, as well as tax incentives that add considerable value to pharmaceutical operations. The country features a robust and secure infrastructure that facilitates efficient production processes, making it an attractive location for pharmaceutical investments. Moreover, Australia's geographical proximity to Asia, coupled with its strong connections to significant markets in the U.S. and Europe, enhances its appeal as a destination for pharmaceutical manufacturing.

In recent years, Australia has garnered increasing recognition as a preferred location for clinical trials and drug development due to its reputation for high-quality standards and favorable business conditions. The local industry is characterized by a collaborative approach among various stakeholders, including government bodies, research organizations, and private firms, to drive innovation and improve healthcare outcomes.

Rationale Behind the Deal

The acquisition of NovaCina aligns with Bridgewest Group’s strategic objective to expand its portfolio in the life sciences sector. The partnership aims to meet the escalating demand for pharmaceutical products both regionally and globally. Under a Master Services Agreement (MSA), NovaCina will continue its manufacturing operations for Pfizer's Oncology drugs and sterile injectable hospital essentials, all while pursuing the expansion of its customer base and service offerings on a global scale.

This acquisition positions NovaCina to capitalize on the growing market for pharmaceuticals and leverage Australia's supportive infrastructure and regulatory framework to attract further business opportunities.

Investor Information

Bridgewest Perth Pharma Pty. Ltd., a subsidiary of the Bridgewest Group, will oversee NovaCina's operations and its future growth initiatives. The firm has developed a strong reputation as a global investment firm with over $3 billion in private capital, focusing on transformational investments in key sectors, including Life Sciences. Since its establishment in 1999, Bridgewest has dedicated itself to cultivating businesses that deliver measurable success and have a meaningful impact on healthcare.

In addition, Bridgewest has built an extensive portfolio within the life sciences industry, including BioDuro-Sundia, which is recognized as the third largest global Contract Research and Development Manufacturing Organization (CRDMO), and BioCina, which has seen substantial growth since its acquisition in 2020. This extensive experience and strategic vision empower Bridgewest to enhance NovaCina’s capabilities and footprint in the global pharmaceutical market.

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From an investment perspective, acquiring NovaCina could be a highly strategic move for Bridgewest Group, providing the opportunity to strengthen its position in the pharmaceutical manufacturing sector. The company benefits from an established facility, a skilled workforce, and a growing demand for injectable drugs, particularly in oncology, which holds immense market potential.

The collaboration with Pfizer under the MSA indicates a secure revenue stream through continued production of oncology-focused products, giving NovaCina a stable foundation as it explores new customer relationships globally. Additionally, the emphasis on enhancing manufacturing capabilities aligns well with current industry trends that prioritize quality and efficiency in production.

Furthermore, Australia's favorable regulatory environment and geographic advantages position NovaCina favorably to capitalize on the growing global pharmaceutical market. Overall, this investment seems poised for success, leveraging existing strengths while expanding into new opportunities that will enhance overall portfolio value for Bridgewest Group.

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