Avid Bioservices: A $1.1 Billion Acquisition Opportunity

Avid Bioservices, a leading contract development and manufacturing organization (CDMO) specializing in biologics, has agreed to a $1.1 billion acquisition deal with private equity firms GHO Capital Partners and Ampersand Capital Partners. This strategic move, announced on November 7, 2024, highlights the growing demand for CDMO services and the potential for value creation in the life sciences sector.

Avid's expertise in biologics CDMO contributes to GHO and Ampersand's investment strategy by providing access to high-growth markets and complex biologics production. The company's established relationships with leading pharmaceutical and biotech innovators further enhance its growth prospects. Avid's recent investments in capacity and team position it strongly for future growth, aligning with the investors' objectives.



The acquisition of Avid Bioservices by GHO and Ampersand is expected to close in the first quarter of 2025, subject to customary closing conditions and regulatory approvals. Upon completion, Avid will continue to operate under its current name but will no longer be listed on any public stock exchange.

Avid's transition to a private company will enable GHO and Ampersand to leverage its resources more effectively. Going private allows Avid to focus on growth, invest in its capabilities, and expand its offerings without the burden of costly financial regulatory requirements. This acquisition provides immediate and certain cash value to Avid's stockholders, supporting the company's next phase of development.



In conclusion, the acquisition of Avid Bioservices by GHO Capital Partners and Ampersand Capital Partners presents an attractive investment opportunity in the high-growth biologics CDMO sector. Avid's expertise, market position, and recent investments position it strongly for future growth, making it an ideal target for strategic investors. As the life sciences sector continues to expand, investments in CDMOs like Avid will remain a key driver of value creation and innovation.