PPD To Sell to PE Groups

Pharmaceutical Product Development, Inc. (PPD) has entered into a definitive merger agreement to be acquired by The Carlyle Group and Hellman & Friedman for $3.9 billion in cash, making PPD a private company. The transaction, subject to customary closing conditions, is expected to close in 4Q11.

“The sale of PPD to The Carlyle Group and Hellman & Friedman provides an attractive return for our shareholders, while also ensuring a secure foundation and commitment to investment, innovation and excellence for PPD clients and employees as the company builds on its 25-year history of success,” said Fred Eshelman, founder and executive chairman of PPD.

Karen H. Bechtel, managing director and head of the healthcare group at Carlyle, said, “Fred Eshelman and PPD’s management team have built a leading and extremely high quality global research and services organization that will continue to help pharmaceutical and biotech companies develop new drugs at lower costs. We look forward to helping expand and enhance PPD’s platform and broad spectrum of therapeutic expertise.”