The third largest acquisition of a healthcare company worldwide by venture capital firms took place in Spain last year. American giant KKR was teamed up for 3,000 million euros with Valencian IVI Clinics, the world leader in fertility treatment. The movement is a symptom of a trend that persists despite inflation and rate hikes: the purchase of Spanish health companies by firms, specifically to extract maximum profitability in buying and selling the companies.
SpainCap, the Spanish association of venture capital firms, estimates that 98 such operations took place in Spain last year, and the firms themselves cite the aging of the population as an element that spurs interest in health.
The purchase of Valencian company IVI by KKR for 3,000 million has been one of the biggest purchases of the year.
Last year, the purchase of Vionet belonging to the French firm Pai Partners of the Miranza Ophthalmology Group for around 250 million euros also closed in Spain. The British CVC fund, the same one that struck a $1 billion deal with La Liga and holds part of Naturgy’s shareholding, was created through FutureLife with Catalan fertility company Instituto Marques.
Venture capital was also interested in the Catalan company of the Andres family, Lesser, known for its toothpaste and products such as Thrombocid, Pilexil or Talquistina. It was sold to the Italian Italpharmaco for more than 500 million.
“This year we have clearly continued the momentum of 2021, and 2022 continues to represent the second most important year in history for the health sector,” Cera Queberas at Bain & Company consultancy, about what happened in Spain it is said. … “The sector has shown its resilience in past recessions and remains an attractive investment area,” he added.
A report by Bain shows that healthcare venture capital operations in Europe are still at a high level and predicts that this trend will continue in 2023, compared to the decline that other businesses have experienced. Global giants such as EQT, Cinven or Blackstone have investment vehicles specializing in health.