Avantor Performance Materials Holdings SA to buy RFCL Limited from ICICI subsidiary

Avantor Performance Materials Holdings Ltd Friday announced it had gone into a definitive agreement that will see it acquire RFCL Ltd from a subsidiary of India’s second largest bank, ICICI. Avantor Performance said it will acquire RFCL Limited from ICICI Venture Funds Management Company Limited.

Avantor was formerly known as Mallinckrodt Baker and was acquired by an affiliate of New Mountain Capital, L.L.C. in August 2010. Avantor and its subsidiaries manufacture and market high-performance chemistries and materials around the world under two well-known and respected brand names, J.T.Baker® and Mallinckrodt® Chemicals.

RFCL is headquartered in New Delhi and is a leader in laboratory reagents and consumables as well as products for the medical diagnostics market in India. Through its Rankem division, RFCL offers over 20,000 different laboratory products to more than 5,000 customers across a variety of industries including pharmaceuticals, biotech, research organizations and educational institutions.

RFCL's Diagnova division offers approximately 2,000 products used by over 6,000 customers primarily in the Indian in vitro diagnostics, medical devices and life science research markets, which cater to hospitals, pathology laboratories and blood banks.

Avantor identified RFCL as an attractive target to build on its current presence in the laboratory and pharmaceutical markets in India. Avantor and New Mountain Capital will provide RFCL with significant financial and strategic resources to support their growth initiatives.

Avantor Chairman and a Senior Advisor to New Mountain Capital, Raj Gupta said the firm expects the combined Avantor and RFCL business to be positioned as a leading player in the laboratory, pharmaceutical, electronic materials and diagnostics industries in India.  He reiterated that the firm looks forward to working with the RFCL leadership team to capture the full potential from this combination.

Prashant Purker, Executive Director at ICICI Venture said the firm was glad to have undertaken the deal as it will bring the best of opportunities for RFCL and its management and employees for the future. This type of outcome is consistent with ICICI Venture's way of investing where it creates value for all stakeholders.

RFCL Limited covers the expanse of Life Sciences industries including pharmaceuticals, biotechnology, R&D laboratories, life sciences, in vitro diagnostic facilities in clinical labs and hospitals through its two Strategic Business Units: Rankem and Diagnova. RFCL has evolved its corporate philosophy around Science, Solutions and Life.

5 Nov 2010.