Dains advise on demerger of M2i from Erigal
Dains Corporate Finance has taken a lead role advising M2i as part of a team of European based corporate finance and legal professionals working on the demerger of Erigal and M2i. The businesses are the leading suppliers in both Ireland and UK for the manufacture of radio-pharmaceutical tracers, used in medical scans to assess the staging of cancers.
Erigal is based at the Keele University Science Park. It was established in 2002 to combine the resources of Alliance Medical, the largest independent provider of diagnostic imaging services in Europe, and M2i Holdings, an investment vehicle for a number of Ireland’s highest profile and successful entrepreneurs.
The goals of the joint venture have now been achieved and, following extensive negotiations with the Erigal group lenders, Alliance Medical and M2i have taken the joint decision to demerge the business and focus their respective efforts on supporting the growth of tracers in the UK and Ireland, respectively. Erigal will continue to focus on its key strategic objective of delivering the most reliable supply of high quality radiopharmaceuticals to the NHS and other organisations. All current contracts and business relationships will be unaffected by the demerger and business continues as usual.
What our client said
Ciaran Boylan, a director of M2i Holdings said: “This is a logical conclusion of a 10 year partnership with Alliance Medical in the UK that set out to support Alliance’s intentions to be the lead provider of PET imaging in the region. Initially, this required the early establishment of a Production Unit in the north of England (Keele) and, over subsequent years, the completion of a well-positioned network of world class units that now presents as the lead manufacturer and distributor of PET Radiopharmaceutical in the UK”
Howard Marsh, Finance Director, UK and Northern Europe, Alliance Medical said: “We are delighted to be securing our supply of FDG, arguably the key component of successful PET/CT imaging and confirming our long-term commitment to the market. This is a key step in our ambition of becoming the most relevant organisation for provision of PET/CT services in the UK.”
What we said
Dains Corporate Finance commented: “With the complex demerger now complete, M2i can continue its vital role in manufacturing quality and reliable products used in the supply of cancer screening which will often make the difference in identifying cancers at an early stage.”