Cosette Pharmaceuticals Acquires G&W Labs' Liquid Dosage Facility to Expand Dermatology Portfolio

VCBeat (WeChat ID: vcbeat) learned from foreign media reports that on November 7, 2019, Cosette Pharmaceuticals (“Cosette”) announced it had entered into a definitive agreement with G&W Laboratories (“G&W Labs”) to acquire its liquid dosage manufacturing facility in Lincolnton, North Carolina. No financial terms of the acquisition were disclosed.

Headquartered in New Jersey, USA, Cosette Pharmaceuticals, Inc. is a generic pharmaceutical company. The company is equipped with high-quality manufacturing facilities capable of producing various dosage forms, including suppositories, creams, ointments, liquids, and gels, and maintains an active R&D pipeline in the fields of dermatology and allergic disease treatment. Currently, Cosette has 35 generic topical dermatological products marketed in the United States, with its best-selling products receiving widespread acclaim from healthcare professionals and patients alike.

G&W Laboratories, established in 1918 and headquartered in New Jersey, USA, is a leading pharmaceutical company. Founded by pharmacist Carl Greenblatt, who served in the U.S. Army during World War I, G&W Laboratories specializes in the production, manufacturing, and distribution of creams and topical medications, with its products exported worldwide. Additionally, the company provides laboratory testing services and contract manufacturing services, including formulation development, analytical method development and validation, process validation, cleaning validation, and commercial batch production.

In December 2018, Avista Capital Partners (Avista), a private equity firm focused on growth-oriented healthcare businesses, acquired G&W Dermatology, the dermatology division of G&W Laboratories, and established Cosette. Currently, Cosette operates the manufacturing facilities formerly affiliated with G&W Laboratories and produces topical medications and suppositories for the treatment of dermatological and allergic conditions. Cosette stated that this acquisition would further expand its business scope.

Avista, founded in 2005 and headquartered in New York, USA, is a leading venture capital and private equity firm. The company primarily focuses on industries such as healthcare, energy, and media, boasting a strong management team, stable cash flow, and robust growth prospects, with total investments exceeding $6 billion. Additionally, Avista has established a long-standing partnership with DLJ Merchant Banking Partners, one of the largest and most successful investment firms globally.

“With the completion of this acquisition, Cosette will be equipped to develop and manufacture new dosage forms and products,” said Walt Kaczmarek, President and CEO of Cosette. “G&W Laboratories’ manufacturing facilities have an excellent track record in producing liquid formulations and other dosage forms, and we believe they will help us enter a new business segment to achieve our growth strategy. Cosette will continue to collaborate with leading pharmaceutical companies to create value for the market.”

(Compiled by Xu Xiaoxue)