Peninsula spins out continuation fund for Galenicum stake at $1.2B valuation
What's the deal? PeninsulaDealroom has a profile for this one. Try Dealroom →, the private equity firm linked to Borja Prado, has set up a continuation fund to transfer its 20% stake in Spanish drugmaker GalenicumDealroom has a profile for this one. Try Dealroom →. The deal values the company at €1 billion and hands investors who backed Galenicum five years ago a gain of roughly 300%.
Why now? The move comes as Galenicum prepares to manufacture a generic version of Ozempic, the blockbuster weight-loss and diabetes drug. The timing lets Peninsula realise returns while keeping exposure to the company's growth.
What's the endgame? By creating a dedicated vehicle to buy out its existing position, Peninsula lets early backers cash out while rolling the stake into a new structure. The firm multiplied those investors' money by more than four.
The signal: Continuation funds are an increasingly common way for private equity managers to hold onto prized assets past a fund's usual life. Here, demand for cheaper alternatives to costly GLP-1 drugs makes Galenicum a bet Peninsula is reluctant to fully exit.
Read more: cincodias.elpais.com
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