MedPharm And Tergus Pharma Merge To Redefine Pharmaceutical Solutions

In a significant move within the drug development sector, two Durham-based firms have joined forces to create a more extensive and cohesive contract development and manufacturing organization (CDMO) focused on the topical and transdermal pharmaceuticals market. MedPharm Ltd., headquartered in Guildford, UK, has merged with Tergus Pharma, also located in Durham, to form a premier, comprehensive CDMO boasting strong scientific expertise, clinical trial manufacturing, and commercial production capabilities, as stated in their recent announcement. The combined entity will operate under the MedPharm brand.

This strategic merger will facilitate a range of services, including commercial production, serialization, formulation development, in vitro testing, and clinical manufacturing, all within a unified organization. The enhanced capabilities will also encompass the development and production of hormone-based and potent medications at the Durham facility, which adheres to good manufacturing practices (GMP). Michael Kane, the CEO of Tergus Pharma, will retain his position as CEO at MedPharm, while Patrick Walsh will maintain his role as executive chairman of MedPharm.

Kane said in a statement, “This strategic partnership is an exciting opportunity to deliver extensive pharmaceutical product development resources fueled by a robust team of scientific experts while leveraging our cutting-edge topical GMP facility to seamlessly meet our customers’ commercial production needs. With locations in both the United Kingdom and the United States, we are well positioned to provide exceptional support to our existing and prospective pharmaceutical clients.”

According to the company's website, MedPharm serves approximately 300 pharmaceutical clients across the globe. It has played a key role in the development and approval of 85 products that are now available in markets worldwide, including the United States, Europe, and Japan. The company focuses on developing products for various drug delivery methods, including dermal, transdermal, lung, nasal, mucosal membrane, ungual, otic, and ophthalmic applications.

Tergus Pharma enhances the partnership with its expertise in various areas, including topical pharmaceutical product research, formulation, drug development, testing, and both clinical and commercial manufacturing. The company focuses on topical semi-solids and liquids for diverse drug delivery methods, such as skin, nasal, otic, ophthalmic, vaginal, and rectal applications.

In May 2021, Tergus Pharma inaugurated a new 100,000-square-foot facility in Durham, which includes corporate and administrative offices, five research and development labs, six commercial GMP manufacturing suites, six filling and packaging areas, and two specialized suites for handling high-potency and hormonal products.

Both Tergus Pharma and MedPharm are supported by private equity firms. Tergus Pharma’s primary investor, Great Point Partners based in Greenwich, Conn., will maintain a minority stake in the newly merged MedPharm. Meanwhile, the majority ownership will be taken over by Ampersand Capital Partners from Wellesley, Mass., along with Bourne Partners Strategic Capital, located in Charlotte.