Houlihan Lokey Advises Fabbrica Italiana Sintetici

Houlihan Lokey is pleased to announce that Nine Trees Group S.p.A. (NTG), the holding company of the Ferrari family, has sold a majority stake in Fabbrica Italiana Sintetici S.p.A. (FIS), a leading contract developer and manufacturer of small-molecule active pharmaceutical ingredients (APIs) and intermediates, to Bain Capital Private Equity (Bain). The transaction closed on December 12, 2023.

Founded in 1957 and based in Vicenza, Italy, FIS is a leading global contract development and manufacturing organization (CDMO) providing comprehensive, integrated, and highly customizable products and services in relation to a broad range of APIs. In particular, the company offers a diversified portfolio of products, with approximately 100 APIs and approximately 1,000 drug master files.

FIS operates three state-of-the-art production plants in Italy, supporting more than 300 customers in 70 countries, including the main global pharmaceutical companies, through the entire API’s lifecycle, from early-stage clinical development, to commercial-scale manufacturing. The company’s operating activities include four different business units: Custom Synthesis, for the production of APIs for original patent-holder pharma companies; Generic for the production of APIs for generic drugs; Animal Health for both generic and custom products; and R&D Services.

Bain currently manages approximately $165 billion in total assets and has partnered closely with management teams to provide the strategic resources that build great companies and help them thrive since its founding in 1984. Bain's global team creates value for its portfolio companies through its global platform and depth of expertise in key vertical industries, including healthcare, consumer/retail, financial and business services, industrials, technology, media, and telecommunications. Bain has 23 offices on four continents. Since its inception, the firm has made primary or add-on investments in more than 1,150 companies.

The investment in FIS marks a strategically important transaction for Bain in Europe, consistent with its thematic investment approach to the pharmaceutical industry.

Houlihan Lokey served as financial advisor to NTG, assisting in the marketing and structuring of a competitive process and negotiating the transaction on behalf of NTG’s shareholders.

The transaction is one of the largest Italian M&A deals in 2023 and one of the largest leveraged buyout deals in the healthcare sector, demonstrating Houlihan Lokey’s strength in the Italian market and underscoring the firm's deep expertise in the pharmaceutical CDMO space.