Dublin-based UDG Healthcare acquires US consultancy

The acquisition is for a total cash consideration of up to $32 million

 Dublin based UDG Healthcare has acquired consulting firm Vynamic for an initial consideration of $22 million. (Photograph: David Sleator/The Irish Times)

Dublin based UDG Healthcare has acquired consulting firm Vynamic for an initial consideration of $22 million. (Photograph: David Sleator/The Irish Times)

 

International healthcare services provider UDG Healthcare has acquired a US-based consulting firm for up to $32 million (€27.8 million).

The Dublin based firm has acquired consultancy Vynamic for an initial consideration of $22 million with an additional consideration of up to $10 million payable over the next three years, based on the achievement of agreed profit targets.

“We are delighted to announce the acquisition of Vynamic, which expands our advisory offering and adds an additional capability offering for our global healthcare clients,” said Brendan McAtamney, UDG Healthcare chief executive.

“Vynamic is an excellent fit for UDG Healthcare, both strategically and culturally, and demonstrates our strategic commitment to developing our market leading positions through geographic and services expansion.”

The founder of the Philadelphia based consultancy. Dan Calista, said: “Joining UDG Healthcare creates tremendous value for our clients and the people of Vynamic. We will have additional capabilities to service clients around the world.”

UDG also confirmed Wednesday that it has received competition approval for the acquisition of Sellxpert, a German contract sales outsourcing business, for a consideration of up to $14.4 million. That deal was announced toward the end of May.

UDG Healthcare disposed of its Irish supply chain distribution businesses in April 2016, and since then has been using the proceeds to acquire higher margin, higher growth businesses, according to a company spokeswoman.

In a client note, analysts at Davy stockbroker said: “We are positive on the Vynamic transaction, which is in line with UDG Healthcare’s strategy of growing both its advisory capability and US presence. It also demonstrates that UDG can acquire attractive assets within its returns criteria.”