$13.6 Billion Buyout of Life Tech by Thermo Fisher Creates Personalized Medicine Heavyweight
In one of the America’s biggest corporate takeovers this year, science service provider Thermo Fisher Scientific has brought out the scientific and laboratory equipment maker Life Technologies Corporation for US$13.6 billion.
There has been much discussion recently about the proposed buyout of Life Technologies by Thermo Fisher, which was finally confirmed yesterday by both companies.
Today Online reported that the acquisition would propel Thermo Fisher into the “hot field of genetic sequencing” where scientists, pharmaceutical manufacturers and physicians are exploring the genetic factors of diseases to allow improved treatment that can be specifically tailored to individual patients.
Life Technologies has been gaining a reputation as an expert in DNA-sequencing tests, a critical technology needed in the emerging field of genetic-based medicine. It is believed that this corporate takeover will establish Thermo Fisher as a major force in the emerging personalized medicine industry.
In a prepared press release, Thermo Fisher stated that the joining together of the companies will create an “unrivalled leader in serving research, specialty diagnostics and applied markets”. In particular, they noted that organizations with an interest in proteomics, genomics and cell biology would benefit from the strengthened technological expertise and offerings.
Marc N. Casper, president and chief executive officer of Thermo Fisher Scientific said “The acquisition of Life Technologies enhances all three elements of our growth strategy: technological innovation, a unique customer value proposition and expansion in emerging markets”.
“We’re especially excited about the new opportunities we will have to leverage our complementary offerings, fuelled by a shared commitment to continuous innovation”, he continued.
Life Technologies believes that the buyout will offer companies working in the highly competitive pharma sector significant benefits. Gregory T. Lucier, chairman and chief executive officer of Life Technologies, said, “This transaction brings together two companies intent on accelerating innovation for our customers and achieving greater success in a highly competitive global industry”.
Thermo Fisher has revenues of $13 billion, approximately 39,000 employees and serve customers within pharmaceutical and biotech companies, hospitals and clinical diagnostic labs, universities, research institutions and government agencies, as well as in environmental and process control industries.
Life Technologieshas revenues of $3.8 billion and around 10,000 employees. They provide an extensive range of scientific and laboratory instruments, including genetic analysis, molecular biology, bioproduction, genomic medicine and molecular diagnostics.
The deal still requires regulatory approval from US and foreign governments and is expected to be finalized early in 2014.