Private Market case studies

How Railpen is investing in Private Markets on behalf of RPS members.

Case study

In 2019, Railpen, and The Riverside Company (Riverside), invested in HealthTech BioActives (HTBA). 

Read on to find out more...

What is HealthTech BioActives (HTBA)? 

HTBA is a Barcelona-based world-leader in the manufacturing and commercialisation of active forms of Vitamin B12 and a class of chemical compounds derived from citrus fruit, known as citrus flavonoids. 

These are widely used in the pharmaceutical, nutraceutical (food with health benefits), food and drink, and animal nutrition sectors, with HTBA selling to more than 60 countries around the world. 

Why did Railpen invest and how has the investment performed?

The initial idea behind this investment was to capitalise on the positive trends in HTBA’s end-markets, which were boosted by changing consumer preferences towards more natural and healthier food.

During the course of Railpen’s investment, HTBA achieved several major milestones including:

  • increasing its manufacturing capacity
  • widening its international distribution
  • enhancing its research and development capabilities
  • doubling its number of employees

The company also invested in new digital and production technologies, streamlined processes and became a sector leader in sustainability across several environmental measures.

During this time, HTBA’s revenues increased by around 50% to around €73m, while its profitability more than doubled to around €20m, showing the impact of the initiatives highlighted above.

In November 2024, Riverside agreed to sell HTBA to a private equity firm. This generated strong returns of more than double the initial investment for Railpen.

Why is Railpen working with Riverside? 

Railpen’s partnership with Riverside, which began in 2015, is an example of our strategy of identifying high quality fund managers with deep sector expertise and the ability to repeatedly deliver strong, long-term performance.

Over the last 10 years, Railpen have invested in four food ingredient businesses alongside Riverside, all of which have generated attractive returns for our members.

The investment in HTBA also shows the benefits of our focus on the smaller end of the market, where there are multiple ways to generate value like this.

Where can you find out more?

You can find more information about where we invest, and why, on the following pages of your member website: 

And on the Railpen website at railpen.com/investing  

What to read next...

Our approach to investing

Railpen focuses on the needs of you, as a member, and the Scheme, as part of the overall investment approach and beliefs. 

Where we invest

Railpen invest in a range of asset types both in the UK and around the world. This delivers better long-term outcomes for our members, and more resilience against current and future risks.

Sustainable Ownership

Learn more about the work we've done to incorporate sustainability into the investments we manage, while still aiming for the best possible financial returns.