Syneos Health to Acquire Synteract, Expand Its Global Expertise
Syneos Health announced on Wednesday that it has agreed to acquire Synteract, a full-service Contract Research Organization (CRO) focused on the biopharmaceutical industry. Synteract has therapeutic expertise in oncology, rare and orphan diseases, neuroscience, dermatology and pediatrics. Its 700 employees have supported more than 4,000 clinical trials across 26,000 sites in approximately 60 countries.
“Synteract is one of the leading mid-sized, late-stage-focused CRO platforms with global reach and an attractive focus on the highest growth customer segment in the CRO space fueled by near-record funding levels,” said Alistair Macdonald, chief executive officer of Syneos Health. “With Synteract, we will strengthen our leadership across the entire SMID category while we continue to drive growth among large biopharma customers. Importantly, we share operating and cultural philosophies built around finding the best combination of product, process and technology to fuel innovation. I look forward to welcoming Synteract to the Syneos Health family, as we collectively work to change patients’ lives.”
This acquisition will help bring new capabilities to Synteract’s unique customer base, while building on Syneos Health’s track record of delivering cost synergies by leveraging its global infrastructure. Once the transaction is completed, Synteract will maintain its brand and operate as a Syneos Health business unit.
The deal is expected to conclude by the end of 2020. Latham & Watkins LLP is serving as legal advisor to Syneos Health, while Jefferies LLC is acting as the exclusive financial advisor to Synteract. Skadden, Arps, Slate, Meagher & Flom LLP is serving as legal advisor.
“Joining Syneos Health combines our emerging biopharma expertise and expands our differentiated delivery model,” said Steve Powell, chief executive officer of Synteract. “We are excited to join the Syneos Health team, as they provide increased global scale, service breadth and the technology infrastructure that will drive continued growth. On behalf of our management team, I thank our dedicated employees and customers who have made this combination possible, as well as Amulet Capital Partners for their significant support as an investor over the last several years.”
This is just one of the agreements that Syneos Health has entered this year. Back in July, the company announced that it had signed a new three-year agreement with Pfizer to deliver global product development solutions to support Pfizer’s portfolio. Financial details were not disclosed at the time of the announcement, but Pfizer retained the right to extend the term by up to two years.
“Our ability to deliver deep therapeutic expertise, while bringing forward insights that can facilitate shorter and more efficient trials, has proven to be advantageous in our work with Pfizer,” said Paul Colvin, President, Syneos Health Clinical Solutions, at the time of the announcement. “This new agreement allows us to continue our collaboration to deliver flexible and innovative solutions. We are pleased to expand our Pfizer relationship to optimize their portfolio and deliver on our shared purpose to change patients’ lives.”
The agreement was built upon a longstanding relationship in which Syneos Health has offered insights and expertise to support product development. It now provides full-service solutions to help Pfizer meet its goals with its existing portfolio.
Syneos Health is one of the only fully integrated biopharmaceutical solutions organizations in existence. The company brings together approximately 24,000 clinical and commercial minds to support customers in more than 110 countries around the world.