The takeover deal - financial terms of which were not disclosed – is limited to Neo-Micro's contract active pharmaceutical ingredient (API) milling and micronization business which – like Micromacinazione existing business - is based on an engineering technique known as jet milling.
In Jet milling jets of air in the micronizer create a vortex that subjects APIs to particle-on-particle impact, creating increasingly smaller particles. The acquired division offers both contract milling and micronizer development services to the drug and chemicals industry.
Going forward Neo-Micro AG will continue to offer facility design and micronization procurement services. In addition, company CEO and founder Walter Schmid will also work as a consultant for Micromacinazione.
The Neo-Micro acquisition comes just five months after Micromacinazione was itself bought by Swiss private equity organisation Cross and fits with the expansion strategy the firm set out at the time.
Speaking in July Luca Bolzani, Micromacinazione CEO, said that: “With the help of our new partner Cross, we can guarantee future growth, the necessary investments and thus the independence of Micromacinazione.”
He reiterated the firm's desire for expansion while announcing the Neo-Mirco deal earlier today, commenting that: "The takeover of the micronization activities of Neo-Micro is an important step in our expansion focusing on profitable growth."
Similar sentiments were expressed by Cross's managing partner, Markus Reich, who said: "This takeover of the micronization division of Neo-Micro marks an initial measure of the planned future development of Micromacinazione.
Reich also hinted that other similar deals are in the pipeline, commenting that: "Through our acquisition this summer the financial latitude of Micromacinazione could be improved for further growth. We are excited about this first milestone."