Thermo Fisher (NYSE:TMO) and Life Technologies (NSDQ:LIFE) agreed to a $76-per-share acquisition that should more than double Waltham, Mass.-based Thermo Fisher’s annual sales.
The union, worth about $13.6 billion plus the assumption of another $2.2 billion in debt, creates a monster in the life science supplies business. Based on last year’s figures, combined revenues would be about $16.3 billion.
Thermo Fisher said it will split its funding of the buyout between about $9.5 to $10 billion in cash and debt and $4 million in stock. The company said it plans to keeps its debt at investment grade after the deal closes, expected early next year.
Life Technologies employs more than 10,000 workers globally. The Carlsbad, Calif.-based company’s president & COO, Mark Stevenson, "will have a significant leadership role in the combined company," according to a press release.
"We are extremely excited about this transaction because it creates the ultimate partner for our customers and significant value for our shareholders," Thermo Fisher president & CEO Marc Casper said in prepared remarks. "For our shareholders, we expect the transaction to generate attractive financial returns, as well as significant and immediate accretion to our adjusted EPS."
