Gerresheimer sells two packaging units to Apax for $1.71 billion

Gerresheimer is selling two packaging units to private equity group Apax Funds for €1.5 billion ($1.71 billion) including debt, streamlining its portfolio to focus on higher-margin drug delivery and medical devices.

The German pharmaceutical packaging firm announced the deal Wednesday, saying the transaction covers two of its packaging divisions. The company did not disclose the individual valuation of each unit or the exact debt component of the €1.5 billion enterprise value.

The sale marks a strategic pivot for Gerresheimer, which has historically derived a significant portion of revenue from primary packaging glass and plastic products for the pharma industry. By divesting these units, the company is betting that its remaining drug delivery systems and medical device businesses will generate stronger margins and growth, particularly as demand for injectable drug delivery continues to rise.

The deal underscores continued private equity appetite for European industrial and healthcare assets. Apax, which has a track record of acquiring and restructuring manufacturing businesses, is expected to operate the two packaging units as standalone entities. The transaction is subject to customary regulatory approvals, with closing expected in the coming months.

For Gerresheimer, the divestiture provides capital to reduce debt or reinvest in higher-growth areas such as prefillable syringes, inhalers, and other drug-device combination products — segments where the company faces competition from rivals including Stevanato Group and West Pharmaceutical Services. The sale also simplifies Gerresheimer's corporate structure, potentially making the remaining business more attractive to investors seeking pure-play exposure to pharma services.

This article is for informational purposes only and does not constitute investment advice.