Medical tech firm Danaher to buy Abcam in deal valued at $5.7 billion By Reuters

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<p>(Reuters) -Danaher Corp said on Monday it would buy smaller rival Abcam Plc in a deal valued at $5.7 billion including debt, as the medical tools supplier eyes bigger contracts by expanding its services.</p>
<p>The deal will help Danaher (NYSE:) bulk up in the face of a funding crunch among small-sized biotech companies that has dented demand for its products used to develop treatments and vaccines. </p>
<p>The company, one of the world’s largest suppliers of medical tools, in July cut its annual sales growth forecast for a second straight quarter, weighed down by the funding crunch in the drug development market.</p>
<p>Danaher, which has a market value of nearly $190 billion, has turned to dealmaking in recent years. It acquired <span itemscope="" itemtype="http://schema.org/Corporation"><span itemprop="name"> General Electric </span></span> (NYSE:) Co’s biopharma solution business for $21.4 billion in 2019 and contract development and manufacturing organization Aldevron for $9.6 billion in 2021.</p>
<p>Danaher will pay $24 per share in cash, a 2.7% premium to Abcam’s last closing price. Abcam’s shares were down about 4% in premarket trading at $22.44.</p>
<p>Abcam’s shares rose 17% in mid-June after Bloomberg reported that the company was fielding takeover interest. They closed up 3.9% on Friday after Reuters reported that Danaher was in the lead to acquire the company.</p>
<p>Cambridge, England-based Abcam has come under pressure from activist shareholders to sell itself, including its founder Jonathan Milner who owns 6.1% of the company, as well as hedge fund Starboard Value LP. </p>
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<br /><a href="https://www.investing.com/news/stock-market-news/danaher-to-buy-abcam-in-deal-valued-at-57-billion-3162542">Source link </a></p><p>The post <a href="https://forextraderhub.com/medical-tech-firm-danaher-to-buy-abcam-in-deal-valued-at-5-7-billion-by-reuters.html">Medical tech firm Danaher to buy Abcam in deal valued at $5.7 billion By Reuters</a> first appeared on <a href="https://forextraderhub.com">Forex Trader Hub</a>.</p>