The pan-European asset management group AURELIUS has purchased the McKesson Corporation’s Admenta UK Ltd, the owner of LloydsPharmacy, Lloyds Direct and AAH Pharmaceuticals (the UK’s largest pharmaceuticals distributor to NHS and private hospitals). McKesson has an established position in the UK healthcare sector through Admenta UK Ltd, and the UK group generated over £5 billion in revenues in FY March 2022.
Barclays played a key role in funding the acquisition, as Sole Lead Arranger on a £357.5m million syndicated Asset Based Finance facility (made up of £268 million of receivables funding and £89 million of inventory funding). The five other syndicate members were: ABN AMRO Commercial Finance; BNP Paribas Commercial Finance Limited; HSBC Invoice Finance (UK) Limited; RBS Invoice Finance Limited; and Secure Trust Bank PLC.
James Binns, Global Head of Trade and Working Capital at Barclays Corporate Banking, said:
“We are pleased to have worked with McKesson, AURELIUS and the wider syndicate to deliver an innovative Asset Based Finance facility to assist with this landmark acquisition. In addition to preserving our strong client relationship with the McKesson Corporation, we have also established a new-go forward operational banking relationship with AURELIUS which will help develop further opportunities in the future.”
Richard Schulze-Muth, CFO at AURELIUS, commented:
“For AURELIUS, the UK’s carve-out and asset-based lending landscape is one of the most important in Europe. We are delighted to partner with Barclays and have structured tailor-made financing to support the company’s transition after the carve-out. AURELIUS closely worked with Barclays and the syndicate lenders on a financing solution adapted to current market conditions, allowing the company to focus on implementing its business plan.”
Tristan Nagler, Partner at AURELIUS, commented:
“AURELIUS has a strong focus on identifying business opportunities offering great growth potentials. With our most recent acquisition of McKesson’s UK operations, we have proven that our investment strategy enables us to take advantage of substantial carve-out opportunities in the market. Now, our functional experts strive to help the company leverage all potentials within a successful transformation.”