Mercury invested in clinical research organsation (CRO) Novotech in May 2013 alongside founder Alek Safarian. Mercury identified Novotech during a review of Australian healthcare market which focused on identifying businesses demonstrating a low reliance on government funding, scalable operating models and the ability to export Australian capability into high-growth international markets. As Australia's leading independent full-service CRO, Novotech amply demonstrated these attributes and had a long and successful track-record as being the preferred choice for US-based biotech firms looking to conduct Phase 2 and Phase 3 clinical trials in the Australian and Asia-Pacific markets.

At the time of investment, Novotech generated ~A$25m, with an operational footprint extending across Australia, New Zealand and a small North Asia and South East Asia and a clear opportunity to build the leading pan-Asian CRO platform. Mercury supported Novotech build off its strong existing platform with the business completing a step-change in ambition, capability and regional coverage during Mercury’s ownership. The value creation plan focused on funding and shaping the Asian expansion strategy, strengthening the senior management team, building more sophisticated business development capability and increasing direct engagement with US-based biotech and mid-tier pharmaceutical customers.

Key initiatives included investment in US sales coverage, expansion of the Sydney sales team, appointment of senior marketing capability and a more targeted outbound marketing strategy. Mercury also supported continued investment in Asian offices and operating capability, enabling Novotech to convert its regional presence into a scalable platform for sponsors seeking efficient, high-quality clinical trial delivery across Asia-Pacific.

During Mercury's ownership, Novotech delivered exceptional growth. Asian office activity expanded materially, North Asian operations became stand-out performers, and newly opened markets such as Hong Kong and the Philippines began contributing to group revenue. The business benefited from a growing backlog and opportunity pipeline, improved sales execution and the increasing attractiveness of Asia-Pacific clinical trials to global sponsors.

By the time of Mercury’s exit in FY17, Novotech had achieved a material uplift in scale and profitability, with revenue and EBITDA increasing strongly and the business positioned for further growth. In 2017, Mercury sold Novotech to TPG. After approximately four and a half years of partnership together, the investment generated an extraordinary outcome for Mercury investors, Alek Safarian and the management team.