Burgdorf – Ypsomed (SIX:YPSN) and TecMed AG (TecMed) have entered into an agreement for the sale of Ypsomed diabetes care business for up to CHF 420 million, including earn-out. TecMed is a company based in Burgdorf, controlled by Willy Michel. Ypsomed is focusing on strengthening its leading position in the market for subcutaneous self-injection solutions for pharmaceutical and biotech companies.

Ypsomed is selling Ypsomed Diabetes Care AG, including the relevant subsidiaries, the patch pump development activities and related rights to TecMed. The transaction is expected to close in the second half of 2025, subject to regulatory approvals of the ongoing carve-out. The sale proceeds will finance the expansion of the injection system business.

Ypsomed is convinced that two specialised companies will be more focused, more agile and therefore, more successful in the long term.

On 13 November 2024, the company announced the start of the sales process of its diabetes care business. Following a comprehensive marketing phase that involved both potential strategic and financial buyers, in a structured auction process, TecMed emerged as the ideal partner to take over Ypsomed diabetes care business.

Unlocking diabetes care business full potential

TecMed’s clear vision in diabetes care will reinforce stability for all stakeholders, especially our patients, healthcare professionals and employees. TecMed will combine Ypsomed tube pump system mylife Loop, including the mylife YpsoPump and the leading AID solution mylife CamAPS FX, with TecMed’s patch pump program to create a global diabetes care leader fully dedicated on innovative insulin infusion systems.

The combined company will have its new headquarters in Burgdorf with working space for around 300 employees. This reinforces the company’s regional ties. Approximately 200 employees currently working in Solothurn will move to Burgdorf later this year. This will free up space for further growth in Ypsomed’s core business.

Ypsomed is focusing on expanding its leading position in delivery systems

We are focusing on capturing substantial opportunities in the subcutaneous self-injection market and expanding our global production capacities. Our fundamental growth drivers – the increasing popularity of selfcare, as well as the rise of biologics and biosimilars – continue to offer enormous potential. Thanks to our automated and scalable processes, we are well positioned to significantly participate in this growth,

comments Simon Michel, CEO of Ypsomed on the decision to sell the diabetes care business.

TecMed is focusing on the growing insulin pump business with a unique product portfolio

Our vision is clear: to empower persons with diabetes through choice and innovation in their therapy options. The experience of Ypsomed Diabetes Care as a pioneer in insulin pump therapy will be the ideal set-up for the future launch of our patch-pump.

Patrick Schär current CEO and designated Chief Corporate Services Officer of TecMed AG.

By combining our existing mylife Loop solution, our strong commercial presence, and a patch pump currently under development, we are perfectly positioned to capture the momentum in the growing insulin pump market,

says Sébastien Delarive, current Chief Business Officer Diabetes Care at Ypsomed and designated CEO of TecMed AG.

Commitment to the Swiss manufacturing site

Ypsomed is investing in two new production halls, a new tool shop, and a conference centre at the Solothurn site, which will also be accessible to the public. By selling the pen needle manufacturing to the Italian company MTD and ending contract manufacturing for Sanofi, additional production capacities for the rapidly growing autoinjector business will be added at the Solothurn site.

Advisors

Rothschild & Co advised Ypsomed as financial advisor and Walder Wyss as legal advisor. Furthermore, the Board of Directors mandated IFBC as an independent expert to provide a fairness opinion on the financial terms of the transaction.

TecMed AG was advised by Kellerhals Carrard acting as legal advisor and KPMG as M&A and tax advisor.

Video conference

Ypsomed will share further information today at 14:00 CET during a video conference. Simon Michel, CEO, and Samuel Künzli, CFO, will present. The conference will be held in English.

We kindly ask you to register for participation in the conference via this link.