PerkinElmer Slams Down $1.3 Billion for Germany's EUROIMMUN
Published: Jun 19, 2017
- Accelerates revenue and earnings growth by adding leading positions in autoimmune and allergy diagnostics and strengthens leadership in China and other emerging markets
- Significant opportunity to leverage technologies, strong market positions and synergistic commercial activities to deliver better solutions across an expanding customer base
- Highly compelling deployment of capital, significantly advancing PerkinElmer’s strategic priorities and providing very attractive financial returns
WALTHAM, Mass.--(BUSINESS WIRE)--PerkinElmer, Inc. (NYSE:PKI), a global leader committed to innovating for a healthier world, today announced that it has entered into a definitive agreement to acquire EUROIMMUN Medical Laboratory Diagnostics AG. The agreement provides that PerkinElmer will acquire up to a 100% stake in EUROIMMUN. The total purchase price of the transaction based on all outstanding shares being acquired will be approximately $1.3 billion in cash.
“We look forward to working with the EUROIMMUN team as we partner together to help improve global health through advanced diagnostics.”
Based in Lübeck, Germany, with approximately 2,400 employees, EUROIMMUN is widely recognized as a global leader in autoimmune testing and an emerging force in infectious disease and allergy testing. The company has extensive expertise and capabilities across immunology, cell biology, histology, biochemistry and molecular biology. EUROIMMUN is expected to generate approximately $310 million in revenue this year, and over the last five years, the company has averaged revenue growth of 19%. In 2016, the company generated sales in more than 130 countries worldwide, with approximately 45% of revenues in China, 30% in Europe, Middle East & Africa, 5% in the Americas and 20% in Rest of World.
The acquisition combines two innovative, results-driven cultures with a shared mission of improving global health. The combination expands PerkinElmer’s reach into autoimmune and allergy diagnostic markets, while offering new infectious disease capabilities to customers in China. In addition, as a market leader in the U.S. for reproductive health, PerkinElmer will have the opportunity to drive EUROIMMUN’s solutions into this well established channel.
“With the acquisition of EUROIMMUN and its talented team of professionals, we are able to leverage our combined advanced detection, imaging and assay development capabilities, along with our strong collective market positions and synergistic commercial activities, to deliver better and more complete solutions to our customers around the world,” said Robert Friel, chairman and chief executive officer of PerkinElmer. “We look forward to working with the EUROIMMUN team as we partner together to help improve global health through advanced diagnostics.”
“I am delighted to entrust EUROIMMUN to PerkinElmer, a company I believe shares our important mission and will secure the continuity of our culture and tradition of innovation that we have developed over the last thirty years,” said Professor Winfried Stöcker, founder and chief executive officer of EUROIMMUN.
PerkinElmer’s comprehensive global diagnostics portfolio will now include solutions focused on: reproductive health; autoimmune, infectious disease and allergy testing; gene analyses; and genomics offerings for oncology and other molecular tests through its wide range of instruments, reagents, assay platforms and software offerings.
The transaction is subject to customary closing conditions and is currently anticipated to close in the fourth quarter of 2017 following the receipt of required standard regulatory approvals. The acquisition is expected to be accretive to PerkinElmer's 2018 non-GAAP earnings per share results by approximately $0.28 to $0.30. Additionally, PerkinElmer is reaffirming its 2017 revenue and earnings per share guidance.
Conference Call Information
The Company will discuss its agreement to acquire EUROIMMUN in a conference call on June 19, 2017 at 8:00 a.m. Eastern Time. To access the call, please dial (541) 797-2422 prior to the scheduled conference call time and provide the access code 41499178.
A live audio webcast of the call will be available on the Investor section of the Company's Web site, www.perkinelmer.com. Please go to the site at least 15 minutes prior to the call in order to register, download, and install any necessary software. An archived version of the webcast will be posted on the Company's Web site for a two week period beginning approximately two hours after the call.
PerkinElmer, Inc. is a global leader committed to innovating for a healthier world. Our dedicated team of 9,000 employees worldwide are passionate about providing customers with an unmatched experience as they help solve critical issues especially impacting the diagnostics, discovery and analytical solutions markets. Our innovative detection, imaging, informatics and service capabilities, combined with deep market knowledge and expertise, help customers gain earlier and more accurate insights to improve lives and the world around us. The Company reported revenue of approximately $2.1 billion in 2016, serves customers in more than 150 countries, and is a component of the S&P 500 Index. Additional information is available through 1-877-PKI-NYSE, or at www.perkinelmer.com.
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