Catalent makes another buy and ticks up its revenue

Catalent ($CTLT) has acquired another R&D tech firm, snapping up Micron Technologies and its particle sizing capabilities as the recently IPO'd company works to expand its share of the drug development market.

Micron, operating in Pennsylvania and the U.K., specializes in helping drug developers reduce the size of their therapeutic particles to boost deliverability and bioavailability. Catalent is paying an undisclosed sum for the company, bringing in two facilities equipped for R&D and commercial-scale work, plus about 100 new employees.

For Catalent, the acquisition fits right in with its goal of serving as a one-stop shop for developers of all types of therapies looking for the most efficient and efficacious way to get their candidates to patients. The buyout follows Catalent's October deal for Redwood Bioscience, a longtime partner with a proprietary approach to antibody-drug conjugates.

John Chiminski--Courtesy of Purdue

"This strategic acquisition allows Catalent to provide an unprecedented set of integrated development solutions and superior drug delivery technologies to the industry, partnering with our customers' R&D teams earlier in the development cycle and helping them deliver better treatments to clinic and to market faster and more efficiently," CEO John Chiminski said in a statement.

Catalent's M&A strategy has helped it gradually dial up revenue since going public in July. In the fiscal quarter ended Sept. 30, the Somerset, NJ, company pulled in $418.3 million, a 1% over the same period last year, thanks to 1% growth in its banner oral technologies segment, a 2% increase for development and clinical services, and a 1% boost for its medication delivery business. Catalent swung to a quarterly net loss of $19.5 million, which the company blamed primarily on one-time IPO costs of more than $50 million.

For the full fiscal year, Catalent expects revenue to come in around $1.9 billion, good for nearly 5% growth, and adjusted net income of up to $225 million, which would be a 58% leap over 2014.

- read more on the Micron deal
- check out Catalent's results