Sartorius planning Vivascience IPO?
considering a possible initial public offering for its
biotechnology unit Vivascience in the second half of this year,
according to local press reports.
Chief executive Joachim Kreuzburg said that the company was considering a second attempt at an IPO in the second half of the year.
Sartorius had originally planned to float Vivascience in 2001, but was not able to go through with the share sale due to what it described as 'skittish' equity market conditions. The company had planned to try again the following year, but has continually delayed the move as it waits for the IPO markets to pick up.
Last year, the first signs emerged that this was starting to occur, albeit more strongly in the US than Europe. Now, with a string of successful IPOs in the biotechnology sector in both territories, Sartorius feels the time may be right. The main reasons for this is a hike in industry-wide pharmaceutical research spending, which should lead to a similar upturn in spending on proteomics tools, a sector in which Vivascience holds a strong position.
Vivascience specialises in protein purification and analysis, and sells cell culture systems and filtration and ultrafiltration tools. In 2003, the biotechnology division - of which Vivascience is a part - posted sales of €227 million, a decline of more than 10 per cent, as a result of adverse currency impacts.
