New Mountain Capital Completes $3.8 Billion Initial Public Offering of Avantor
– Avantor enterprise value grows from $280 million in 2010 to over
$14 billion today, under New Mountain’s ownership
– Avantor has emerged as a global leader in life sciences materials
NEW YORK–(BUSINESS WIRE)–New Mountain Capital, LLC, (“New Mountain”), a growth-oriented private
equity firm with over $20 billion in assets under management, today
announced the initial public offering of New Mountain portfolio company
Avantor. Avantor is a leading global provider of mission critical
products and services to customers in the biopharma, healthcare,
education & government and advanced technologies & applied materials
industries.
New Mountain formed Avantor for an enterprise value of $280 million in
August 2010 through the acquisition of Mallinckrodt Baker, a
discontinued operation of Covidien. The current enterprise value of
Avantor is over $14 billion, based on the IPO price. Avantor has grown
from $414 million of revenue in 2009 to $5.9 billion of revenue in 2018,
representing a 34% compounded annual growth rate. Avantor’s employee
count has grown from approximately 1,100 to 12,000 in the same time
period.
Since New Mountain’s investment, Avantor has developed a portfolio of
customized product and service offerings to serve the needs of demanding
customers in the life sciences and advanced technology industries. New
Mountain supported significant growth investment at Avantor, including
new product development, improved sales and marketing infrastructure,
and new IT systems. Additionally, New Mountain led a series of strategic
acquisitions which gave Avantor global scale, differentiated technology,
increased access to distribution channels and world-class manufacturing
capabilities.
New Mountain continues to be Avantor’s largest shareholder, with a
position valued at approximately $1.5 billion based on the IPO price,
not including substantial dividends received prior to the IPO.
“New Mountain is proud to have built Avantor from $280 million in
enterprise value in 2010 to over $14 billion of enterprise value today,”
said Steve Klinsky, founder and CEO of New Mountain. “New Mountain’s
motto has always been ‘Building Great Businesses’, and Avantor’s success
is an example of this goal.”
“This IPO marks an important milestone in our ongoing partnership with
Avantor. New Mountain identified Avantor as part of a proactive deep
dive into the life sciences supply chain, and we believe Avantor’s
ability to leverage technology will continue to drive efficiency and
modernization of the life sciences supply chain,” said Matt Holt,
Managing Director at New Mountain. “We are also honored to be partners
with one of the best management teams in the industry.”
“Since our investment in 2010, we have worked closely with the Avantor
team to make the right organic and M&A investments to evolve the
business into the leading life sciences company it is today,” said Andre
Moura, Managing Director at New Mountain. “We believe that the
biopharmaceutical and medical device materials supply chain is an
attractive industry segment, poised for continued growth.”
“I am proud of all that New Mountain and Avantor have accomplished
together,” said Raj Gupta, Senior Adviser at New Mountain and Chairman
of the Board of Directors of Avantor. “This is an exciting time for
Avantor as we enter our next phase of growth as a public company.”
“New Mountain has been an invaluable partner to us,” said Michael
Stubblefield, CEO of Avantor. “We continue to enjoy working with the New
Mountain team, which has provided support, strategic guidance, and
capital to help us grow. We’re very proud of what we have been able to
accomplish together so far, and we look forward to continuing to build
Avantor.”
About New Mountain Capital
New Mountain Capital is a New York based investment firm that emphasizes
business building and growth, rather than debt, as it pursues long-term
capital appreciation. The firm currently manages private equity, public
equity, and credit funds with over $20 billion in assets under
management. New Mountain seeks out what it believes to be the highest
quality growth leaders in carefully selected industry sectors and then
works intensively with management to build the value of these companies.
For more information on New Mountain Capital, please visit www.newmountaincapital.com.
Contacts
Media:
Dana Gorman
Abernathy MacGregor
212-371-5999
dtg@abmac.com
