Warburg Pincus is close to acquiring specialty pharmacy company Pantherx Rare in a transaction valued at more than $7bn, including debt, according to a report by the Wall Street Journal citing unnamed people familiar with the matter.
The private equity firm is expected to partner with the Abu Dhabi Investment Authority (ADIA) on the acquisition, continuing a relationship that has seen the two investors collaborate on previous transactions.
Pantherx Rare, headquartered in Pittsburgh, specialises in dispensing treatments for patients with rare and orphan diseases, combining pharmaceutical distribution with patient support and personalised care services.
The company has been backed by a consortium of private equity investors since 2022, when General Atlantic, Nautic Partners and The Vistria Group acquired the business from US health insurer Centene. The financial terms of that transaction were not disclosed.
Sources said an agreement could be reached in the near term, although negotiations remain ongoing and there is no guarantee a deal will be completed.
The potential acquisition would represent another significant healthcare investment for Warburg Pincus, which manages more than $105bn in assets and has built an extensive portfolio across the life sciences and healthcare sectors. Current investments include oncology research organisation START Center for Cancer Research and pharmaceutical manufacturer Simtra BioPharma Solutions.
The proposed transaction also comes at a time when private equity firms are seeking to accelerate deal activity after an extended period of subdued exits and acquisitions. With many firms holding ageing portfolio companies and facing pressure to deploy capital, competition for high-quality healthcare assets has remained strong despite broader market uncertainty.
