SK Capital Announces Agreement to Acquire Perrigo Company plc’s Active Pharmaceutical Ingredients Business

NEW YORK–(BUSINESS WIRE)–SK Capital, a private investment firm focused on the specialty
materials, chemicals and pharmaceuticals sectors, announced that it has
signed a definitive agreement to acquire Perrigo API (the “Business”),
Perrigo Company plc’s (NYSE; TASE: PRGO) active pharmaceutical
ingredients (“API”) business. As part of the transaction, the parties
have agreed to enter into a long-term supply agreement for Perrigo API
to supply multiple existing commercial and pipeline APIs to Perrigo. The
transaction is expected to close during Q4 2017, before which a new
trade name will be selected and announced for the Business.

Perrigo API is a leading developer and manufacturer of generic APIs and
finished dose forms (“FDF”) with operations primarily located in Israel
and supporting functions in the U.S. and India. The Business has a
global customer base and a broad array of products that leverage its
specialized manufacturing capabilities and core competency in complex
chemistries. Perrigo API is known for its uncompromising commitment to
the highest quality and reliability standards and has an exemplary
compliance track record.

SK Capital has effectively executed numerous prior transactions by
collaborating with management to significantly grow revenue and
profitability. This acquisition complements other leading companies that
SK owns and operates in the API and FDF value chain including Noramco,
Tasmanian Alkaloids and Halo Pharmaceutical, all of which will continue
to operate independently post-acquisition.

Commenting on the agreement to acquire Perrigo API, Aaron Davenport,
Managing Director at SK Capital, said, “Perrigo API is a proven industry
leader with strong innovation and manufacturing capabilities and a
quality and customer-centric culture. The skills and expertise of the
leadership team, dedicated employee-base and the quality of the
manufacturing facilities have enabled the Business to establish a strong
market position.”

As part of Perrigo API’s renewed strategic vision to become an
independent, high quality API supplier of choice for the generic
pharmaceutical industry, four highly-experienced Israeli pharmaceutical
executives will be joining the Board of Directors of the Business in
partnership with SK Capital: Itzhak Krinsky, Meron Mann, Iftach Seri and
Arik Yaari. These executives bring decades of experience managing
pharmaceutical businesses of significant scale and complexity, including
various roles as executives with Teva Pharmaceutical, Sun Pharma and
other leading industry organizations.

Iftach Seri, incoming member of Perrigo API’s Board of Directors, added,
“We believe tremendous value can be created through further investments
in people, company culture, processes and technologies. We look forward
to collaborating with the management team and employees to support their
continued growth and building a successful working relationship with
Perrigo through our long-term supply agreement.”

RBC Capital Markets LLC and Rothschild acted as SK Capital’s joint
buyside advisors, and Kirkland & Ellis LLP and Meitar Liquornik Geva
Leshem Tal acted as SK’s legal advisors.

About SK Capital

SK Capital is a private investment firm with a disciplined focus on the
specialty materials, chemicals and pharmaceuticals sectors. The firm’s
purpose is to build strong and growing businesses that create
substantial long-term economic value. SK utilizes its industry,
operating and investment experience to identify opportunities to
transform businesses into higher performing organizations with improved
strategic positioning, growth and profitability as well as lower
operating risk. SK’s portfolio of businesses generates revenues of
approximately $6 billion annually, employs more than 8,700 people
globally and operates more than 60 plants in 25 countries. The firm
currently has approximately $1.9 billion of assets under management. For
more information, please visit www.skcapitalpartners.com

Contacts

BackBay Communications
Philip Nunes, 617-391-0792
[email protected]