Thursday, May 19, 2011

Thermo Fisher to buy diagnostics firm Phadia for $3.5B

By Julie M. Donnelly, Boston Business Journal

Thermo Fisher Scientific Inc. (NYSE: TMO) has entered into a deal to buy Swedish diagnostics firm Phadia AB from a European private equity firm for $3.5 billion. The transaction is expected to close in the fourth quarter of 2011.

Phadia specializes in developing, manufacturing and marketing diagnostic blood test systems in the allergy and autoimmune disease space. Phadia had 2010 total sales of $525 million and has a worldwide head count of 1,500.

“The acquisition of Phadia is a major step forward in our strategy to enhance Thermo Fisher’s global presence in specialty diagnostics, one of our key growth platforms,” Thermo Fisher CEO Marc Casper said in a statement. “This transaction will provide Thermo Fisher with leading allergy and autoimmunity diagnostic testing technologies that expand our specialty diagnostics offerings.”
 
Waltham-based Thermo Fisher said the transaction is expected to generate a total of $35 million of cost and revenue synergies in 2014, with $10 million generated in 2012.

It’s the second deal Thermo has announced in as many days. On Wednesday, the company announced it had acquired Sterilin Ltd., a provider of disposable plastic products serving the scientific community.

Thermo Fisher also announced earlier this week that it had completed the acquisition of Dionex Corp., a California manufacturer of liquid chromatography systems, through a short-form merger.