Siegfried (SFZN) M&A announcement summary

Deal rationale and strategic fit

• Acquisition of three drug substance sites in the US and Australia expands presence in key growth segments and strengthens supply chain resilience.

• Addresses high demand for local-to-local drug substance manufacturing, especially for small molecules and innovative pharmaceuticals.

• Expands global network with sites focused on addiction treatment, ADHD, and pain management, supporting both US and global customers.

• Advances the EVOLVE+ strategy for long-term profitable growth and enhances integrated offerings.

• Strategic move to pass critical size in the US and support ongoing outsourcing trends in pharma.

Financial terms and conditions

• Valuation of the acquired business is below 10x EV/EBITDA, under recent US asset expectations.

• Acquisition financed through a mix of existing and new debt instruments, maintaining investment grade status.

• Expected to add approximately 10% to group net sales for a full year, with no EBITDA dilution.

• Financial leverage will remain substantially below 3x post-deal, preserving financial flexibility.

• Transaction is not dilutive to existing business.

Synergies and expected cost savings

• Wilmington and Pennsville sites to form a complementary manufacturing cluster, optimizing controlled substances footprint.

• Repurposing Wilmington capacity for innovative, high-value compounds is a major value lever.

• Integration of early-phase development and extraction expertise enhances customer offerings.

• No significant catch-up CapEx required; sites are in good condition and ready for immediate use.

• Backward integration at Extractas Bioscience/Tasmania increases supply chain resilience and addresses previous bottlenecks.