July 10 (Reuters) – Private equity firm Warburg Pincus is nearing a deal to acquire specialty pharmacy company PANTHERx Rare for more than $7 billion, including debt, the Wall Street Journal reported on Friday, citing people familiar with the matter.
Warburg is partnering with Abu Dhabi Investment Authority on the acquisition, the report said.
A deal could come together soon, the sources said but cautioned that nothing is finalized and the timing could still slip, WSJ reported.
Pittsburgh-based PANTHERx specializes in providing medicines and patient support services for rare and orphan diseases. The company is owned by an investor group that includes private equity firm General Atlantic.
Centene acquired PANTHERx in 2020 before selling the rare-disease specialty pharmacy in 2022 to a consortium including General Atlantic, Nautic Partners and The Vistria Group for an undisclosed amount, as the insurer streamlined its business to focus on its core health insurance operations.
The potential acquisition comes as private equity firms seek to increase deal activity amid a backlog of portfolio companies awaiting exits.
Warburg, which manages more than $100 billion in assets, has several healthcare investments, including cancer research provider START Center for Cancer Research and drug manufacturer Simtra BioPharma Solutions, WSJ said.
Warburg Pincus declined to comment, while PANTHERx did not immediately respond to Reuters’ request for comment.
(Reporting by Siddhi Mahatole in Bengaluru; Editing by Joyjeet Das)