SpePharm Holding, B.V. is a European specialty pharmaceutical company focused on acquiring, registering and marketing high medical value specialty medicines. The company was seeking capital to finance the launch of three medical products and acquire the European rights to Dantrium®, a revenue-generating pharmaceutical product.

Paul Capital Healthcare Solution

Paul Capital Healthcare and SpePharm Holding, B.V. entered into a €10 million revenue interest acquisition financing agreement to fund SpePharm’s acquisition of Dantrium® for Europe and certain other markets, from Procter & Gamble Pharmaceuticals. Dantrium is a unique product used to treat malignant hyperthermia, a life-threatening reaction to certain gaseous anesthetics, and its significant clinical benefit fits with SpePharm’s focus on hospital products that provide substantial medical and economic value.

Concurrent with the revenue interest financing transaction, SpePharm also closed on a €16 million equity financing round with TVM Capital, Signet Healthcare Partners and Paul Capital Healthcare.

Result

With the cash provided through the revenue interest financing transaction, SpePharm was able to acquire the rights to a revenue-generating product that will help the company to build out its commercial infrastructure. The mix of capital provided by the revenue interest and equity financing transactions allowed the company to minimize dilution while accessing sufficient growth capital to launch and promote its current product portfolio and acquire rights to additional products in areas of therapeutic interest. Combined, these transactions will enable SpePharm to accelerate the implementation of its strategy to become a leading pan-European specialty pharmaceutical company.