Successfully completing a difficult acquisition

Axyntis is a spin off buy-in management buy-out from Orgasynth following its strategic decision to focus on the Scents & Perfumes sector during a period of growing financial pressure. The separation of this fine chemicals and colouring division was complicated by the group’s closely interwoven operations, finance department and management team.

After many months of negotiations and meticulous preparation, Argos Soditic completed the acquisition, along with David Simonnet, managing director of the Orgasynth group, and Pierre Beaugrand - its Chief Industrial Officer,
The group, renamed Axyntis, produces and markets:

• Fine chemicals : advanced intermediates and active pharmaceutical ingredients for the pharmaceutical industry,
• Fine chemicals : intermediates used for the production of liquid crystals used in LCD screens for the electronic chemicals industry,
• Dye production for oil, paper, leather and textile industries.

New resources to stimulate growth

This acquisition was more than just a change in shareholder structure. It required restructuring human and financial resources to implement a strategy for growth. Financial constraints of the Orgasynth group meant that operations had been neglected over the previous few years and the new company needed a fresh start under the direction of David Simonnet and Pierre Beaugrand.

The key elements of this re-launch included:

• Strengthening the sales teams with, in particular, the creation of new dedicated teams working exclusively on generics or solely in the US market,
• Strengthening the research and development teams to support the group’s customers and anticipate their needs,
• Seizing potential takeover opportunities.

“We are happy to be working with Argos Soditic to increase the value of the Orgasynth group’s fine chemicals and colouring divisions. We want to maintain the virtues of these pioneering companies in their market and the business philosophy of the founding chairman. This acquisition will give us the resources to help with the consolidation of the fine chemicals division in Europe. It will also help extend our presence, especially on the pharmaceuticals, electronics and colouring markets, through improving our R&D capacity and our industrial competitiveness, both of which are core to our strategy.”

David Simonnet – Chairman of the Axyntis group