Baker Tilly Capital advises specialty pharmaceutical company on valuation and strategic alternatives
Client need
A privately held specialty pharmaceutical company found itself in a difficult situation when the company’s founder and principal scientist, who was also the majority shareholder, passed away from an extended illness. The trustee of the founder’s estate and the company’s management team were not in agreement about the future course of the business. Management wished to pursue a new agenda from the one set out by the company’s founder.
With the company being the owner of multiple patents, a joint venture and several licensing agreements, it was critical for the management team and the estate’s trustee to know the company’s true value and outlook for the future.
Baker Tilly Capital solution*
The pharmaceutical company and the trustee hired Baker Tilly Capital to advise the management team and trustee on the value of the company, while also reviewing strategic alternatives to pursue. Our team prepared a comprehensive analysis of the company’s valuation, breaking down each product in its pipeline and its existing joint venture while providing a financing strategy for each.
Results
Our team shared its analysis and findings with the company’s management team and the estate’s trustee in a full-day session, reviewing all aspects of the determined valuation and the company’s prospects moving forward. The information we provided allowed the management team and trustee to reach agreement on the future direction of the company. Today, the company remains a leader within the pharmaceutical industry with a continued focus of identifying and developing novel technologies.
For more information on this deal, or to learn how Baker Tilly Capital specialists can help, contact our team.
* Services provided by Curtis Securities, LLC, which merged with Baker Tilly Capital, LLC