Sanfer Secures $500 Million Funding to Expand OTC Drug Presence Across Latin America

On August 23, 2019, VCBeat (WeChat ID: vcbeat) learned from foreign media reports that Mexican pharmaceutical company Sanfer announced the completion of a $500 million financing round (the specific round was not disclosed). The round was led by Caisse de Dépôt et Placement du Québec (CDPQ). The transaction is expected to close shortly.

It is reported that Sanfer will use the funds from this round of financing to expand its scale and further develop its over-the-counter (OTC) drug market in Mexico and other regions of Latin America.

Headquartered in Mexico, North America, Sanfer is a leading private pharmaceutical company with nearly 80 years of history. The company primarily manufactures a wide range of prescription drugs, over-the-counter medications, and health products, covering multiple therapeutic areas including infectious diseases, urology, cardiology, gastroenterology, central nervous system disorders, metabolic syndrome, and oncology. Committed to providing innovative medicines and treatment solutions to a broad patient population, Sanfer operates across 25 countries in Latin America.

In 1941, Santoveña and Fernandez founded Sanfer Laboratories based on their keen insight into the pharmaceutical industry, marking the first step in Sanfer’s development. Since its inception, the company has pursued innovation and produced high-quality pharmaceutical products. According to Sanfer, the company has completed over 100 brand acquisitions and launched more than 100 new products in Latin America. Furthermore, the company has acquired eight pharmaceutical enterprises and established long-term, stable partnerships with numerous pharmaceutical companies worldwide.

This financing round represents one of the largest private equity transactions in Mexico. In addition to CDPQ, General Atlantic, a U.S.-based venture capital and private equity firm, is also a key partner of Sanfer. General Atlantic has long provided financial support to Sanfer and holds a minority stake in the company. This international investment institution employs more than 150 professional investment specialists and made its first investment in a pharmaceutical company in 2014.

Stephane Etroy, Executive Vice President of CDPQ, stated, “CDPQ is confident in the prospects of the pharmaceutical industry. Our decision to invest in Sanfer aims to expand the Latin American pharmaceutical market. CDPQ will continue to invest in more pharmaceutical-related companies to drive the development of the industry.”

Ricardo Amtmann A., Chairman and CEO of Sanfer, stated: “We are delighted to welcome CDPQ as our strategic partner. This financing represents a significant milestone for Sanfer, underscoring our enhanced position in Mexico’s pharmaceutical industry.”

CDPQ, established in 1965 and headquartered in Quebec, Canada, is a financial services and investment institution. The company primarily provides public pension management and private insurance services to its clients. As one of Canada’s leading fund management firms, CDPQ mainly invests in global financial markets, infrastructure, real estate, and private debt. As of June 2019, the company’s net assets amounted to CAD 326.7 billion.

(Compiled by Xu Xiaoxue)