Indegene acquires BioPharm for $104m, expands digital marketing in life sciences

Indegene Limited has acquired BioPharm Parent Holdings, Inc., and its subsidiaries, for a total purchase price of $104 million on a debt-free, cash-free basis, plus approximately $2 million for excess cash and working capital. BioPharm, focused on the life sciences industry, reported gross revenues of $38 million and net revenue of $29.2 million in calendar year 2024, with an EBITDA of $7.9 million. This acquisition is funded entirely from Indegene's cash reserves and internal accruals, with an upfront payment of $65 million and a deferred payment of $12 million by March 2026.

The deal includes two earn-outs of $8 million and $19 million, tied to BioPharm's calendar year 2025 and 2026 performance, and the 2027 order book, with growth targets of 15%-20% year-on-year. Indegene expects cost synergies of approximately $1 million annually beyond the integration phase. The company anticipates the transaction to be EPS accretive beyond the first five to six quarters, projecting a 27%-28% EBITDA margin on net revenue for the combined entity within six quarters.

This acquisition strengthens Indegene's campaign execution capabilities, expands its healthcare professional data sets from 1.8 million to 3 million, and deepens penetration across various marketing channels. BioPharm's proprietary data sets on oncology, rare diseases, and ophthalmology are particularly valuable, aligning with Indegene's pipeline. The transaction also includes the integration of BioPharm’s 100 U.S.-based full-time employees and leadership team, incentivized through earn-outs and future stock option plans.