A powerful consortium of elite investors is set to take Italian pharmaceutical company Recordati SpA private in a massive €10.7 billion ($12.4 billion) deal, marking one of the largest buyouts in Europe’s healthcare sector this year.

Investment firms CVC Capital Partners and Belgium’s Groupe Bruxelles Lambert are leading the group, offering €51.29 per share in cash. The deal also includes major players like the Abu Dhabi Investment Authority, CPP Investments, and PSP Investments.

Andrea Recordati, chairman of the company, will retain a stake in the new bidding vehicle, Respighi BidCo SpA.

The buyers argue that taking Recordati private will better support its ambitious push into rare diseases. They noted that while these long-term investments will drive value, they may create short-term earnings volatility that public markets often punish.

“Private ownership… is better suited to support this phase,” the consortium said in a statement.

Recordati specializes in prescription, over-the-counter treatments, and rare disease therapies. The move comes as the company seeks flexibility to invest heavily in research and development without the pressure of quarterly public market expectations.

Existing controlling shareholder Rossini has committed to tendering its 46.82% stake, calling the offer an “attractive valuation.”

This blockbuster deal reflects a growing trend of sophisticated investors pulling strong healthcare companies away from public markets to pursue aggressive growth strategies shielded from short-term shareholder demands. Recordati, with its solid portfolio and focus on rare diseases, appears ideally positioned for this transition under experienced private equity hands.

For CVC and GBL, this represents a major bet on the future of specialized medicine. For Recordati shareholders, it offers a lucrative exit at a premium. However, the deal still requires at least 66.67% of shares to be tendered and faces regulatory approvals, with closing expected by the end of 2026.

The transaction underscores how even established European pharma players are increasingly finding private capital more appealing than staying public in today’s volatile market environment.