Par Pharmaceutical has bulked up quite a bit recently, and now it's ready to go public. The New Jersey company, owned by private equity outfit TPG Capital, has filed with the SEC for an IPO.
While Friday's S-1 did not include how many shares Par planned to sell or what their expected price would be, last month, Reuters reported that the company could raise around $500 million with a public offering, which could value the drugmaker at $3 billion to $4 billion.
The generics maker, which plans to list shares under the symbol "PRX," will use proceeds from the offering to repay debt, and it'll put the remainder--if there is any--into working capital and "other general corporate purpose, including supporting our strategic growth opportunities in the future," it said.
Speaking of growth, the company has seen plenty of it recently; it's posted a compound annual revenue growth rate of 12.2% over the last three years, including a 19.2% top-line leap last year to $1.31 billion. Pickups of injectables specialist JHP last January and Indian CRO Ethics Bio Lab earlier this year helped it get there.
Back in 2012, analysts figured Par could be deal bait itself for a rival generics company, perhaps an international company looking to expand into the U.S. But it was TPG that walked away with the prize in August of that year after forking over $1.9 billion.
TPG has been here before with another of its pharma companies. In late 2013, Aptalis filed for an IPO after TPG tried--and failed--to find a buyer willing to pay $3 billion. Just a couple weeks later, though, Aptalis tossed those plans aside when Forest Labs--now part of Actavis ($ACT)--agreed to shell out $2.9 billion for the drugmaker.
- read the S-1
- get more from Reuters
Special Report: Top Biopharma M&A Deals of 2012 - Par Pharmaceutical