Patheon

Patheon

Type	Public Company
Industry	Contract pharmaceutical services
Headquarters	Durham, North Carolina, United States
Key people	James C. Mullen (CEO); Stuart Grant (CFO and Executive VP)
Revenue	$1.7 billion (2015)
Number of employees	8,000
Website	www.patheon.com

Patheon Inc. is a pharmaceutical contract development and manufacturing organization (CDMO) with its US corporate head offices in Durham, North Carolina, that provides contract development and manufacturing services of prescription and over-the-counter pharmaceutical products for approximately 400 pharmaceutical and biotechnology companies.

It was founded in 1974 as Custom Pharmaceuticals Ltd., and changed its name to Patheon in 1993 when it was first publicly traded. The New York private equity firm JLL Partners has owned a controlling stake in Patheon since 2009. In 2014, Patheon merged with the drug manufacturing business of Royal DSM NV, becoming a joint-venture between JLL Partners and DSM. As of 2016, Patheon owns manufacturing sites in North America, Europe, Japan, Australia., and Canada.

Patheon was founded in Canada in 1974 as Custom Pharmaceuticals Ltd. In 1990, it began to expand to US markets. Custom Pharmaceuticals changed its name to Patheon in 1993 and was first publicly traded that year on the .

In 2004, Patheon acquired MOVA, a drug manufacturer based in Puerto Rico, US. The deal proved unprofitable, and in 2007, the New York equity firm JLL Partners provided Patheon $150 million to restructure. Two years later, after a failed takeover bid by Lonza Group, JLL Partners bought a controlling interest in the company.

In 2013, Patheon acquired Banner Pharmacaps, a drug manufacturer specializing in softgels, for $255 million. (Patheon changed the company's name the following year to "Banner Life Sciences".) In a $2.6 billion deal, Patheon merged with the pharmaceutical division of Royal DSM NV in 2014 after JLL Partners bought a controlling stake in the latter as well, adding significantly to Patheon's European production capacity. Later that year, Patheon bought Gallus Pharmaceuticals, acquiring mammalian cell culture lab sites in New Jersey, US and Missouri, US.

In 2015, Patheon acquired Agere Pharmaceuticals, an Oregon, US company specializing in drug solubility, and IRIX, a maker of specialist Active Pharmaceutical Ingredients in South Carolina, US, the latter for $162.78 million.