Press releases | Private Equity & Financial Sponsors, Corporate and M&A, Tax, Finance |

Graphite Capital acquires Random42

Overview

Travers Smith LLP has advised Graphite Capital (Graphite) on its acquisition of Random42, a medical animation producer, from Vespa Capital (Vespa). Graphite has acquired a majority stake in the group alongside management.

Random42 is the global market leader in the provision of medical animation and digital media services to the healthcare and pharmaceutical industry. Its core capabilities include 2D and 3D animation, Virtual and Augmented Reality experiences, interactive services, mobile applications and website design.

As medical and pharmaceutical products become progressively more complicated, animations are needed more frequently to explain their function clearly and to emphasise the specific value of individual products by showing their complexity and uniqueness. Such animations are increasingly seen as a critical component of the marketing programme surrounding new drug development, as well as having wider corporate uses.

Based in London and employing 50 people, Random42 has client relationships across Europe, USA, and Asia. Winner of more than 150 industry awards during its 25 year history, Random42 has worked with 22 of the top 25 global pharmaceutical companies, including Novartis, Roche, Merck, Sanofi, GSK and AstraZeneca who value the unique combination of scientific expertise, creative skills, consistent delivery and high-quality output that it provides.

The medical animation market is forecast to continue to grow strongly over the next few years with Random42’s core pharmaceutical market expected to grow by over 20 per cent p.a., reaching more than £100 million by 2021. The overall healthcare animation market is forecast to rise at a similar rate to more than £260 million in this period.

The Travers Smith team was led by Private Equity Partners Paul Dolman and Will Yates, with Corporate Associates Laura Pembridge, William Young and James Ravden. Tax advice was provided by Tax Partner Hannah Manning and Associate Laura Jackson. Finance advice was provided by Finance Partner Donald Lowe and Associates Fiona Swords and Daniel Domb.

Graphite was also advised by DC Advisory, Lincoln International, PwC and Arthur J Gallagher. Vespa was advised by DLA Piper. Management was advised by Eversheds Sutherland.