UDG in €18m PR firm takeover

UDG Healthcare has expanded the capabilities of its global healthcare communications division via an €18m acquisition of a public relations firm.

The Dublin-headquartered diversified healthcare services group — which has its shares listed in London — yesterday announced the takeover of UK-based specialist healthcare and scientific PR businesses, Galliard and Nyxeon; through their holding firm MFRHRC Holdings Ltd.

UDG is spending £6.5m (€8.1m) net cash on completion of the deal, with an additional £6.5m (£13m in total) payable based on the achievement of agreed profit targets over the next three years.

The new businesses will complement UDG’s growing global healthcare communications division, Ashfield Healthcare Communications.

“This purchase is fully aligned with our global growth strategy of extending the range of services we offer in high value multi- channel healthcare communications and follows the successful acquisitions of InforMed, Watermeadow and, more recently, Knowledgepoint360,” said UDG chief executive, Liam FitzGerald.

He added that the Galliard and Nyxeon deal will add “strong scientific public relations capabilities to the services we already deliver to our clients”.

Headquartered in London, the two new firms employ 33 people in all and provide services to global pharmaceutical companies, healthcare-related organisations, and charities.

The specialist services they offer include media relations, issues management, scientific and medical education, corporate and employee communications. Galliard — which was established in 2000 — is an award-winning agency, with experience in the area of the communications of science to healthcare professionals, care-givers, policymakers, and consumers.

UDG — formerly United Drug — has now spent over €100m on acquisitions in the past couple of years as it closes in on its stated aim of generating 80% of its annual earnings from overseas operations by 2015.