Thermo Fisher to Acquire Phadia - Focus on Inorganic Growth to be a Main Strategy - Deal Analysis from GlobalData by GlobalData

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Thermo Fisher to Acquire Phadia - Focus on Inorganic Growth to be a Main Strategy - Deal Analysis from GlobalData

Summary

GlobalData’s report, “Thermo Fisher to Acquire Phadia - Focus on Inorganic Growth to be a Main Strategy” provides key information and analysis on Thermo Fisher’s proposed acquisition of Phadia. The report provides information on deal rationale that includes key insights on the deal based on Thermo Fisher’s inorganic growth strategies.

This report is built using data and information sourced from proprietary databases, primary and secondary research and in-house analysis by GlobalData’s team of industry experts.

Scope

- In-vitro diagnostics market size for 2010 and forecast forward to 2017.
- Qualitative analysis on Thermo Fisher’s acquisition of Phadia.
- Thermo Fisher’s inorganic growth strategies in recent years.
- Pipeline study of in-vitro diagnostics products of Phadia.

Reasons to buy

- Develop business strategies by understanding the trends and developments that are driving the In-Vitro Diagnostics market.
- Design and develop your marketing and sales strategies
- Develop market expansion strategies.
- Exploit M&A opportunities by identifying key areas of growth

More Info
									           Thermo Fisher to Acquire Phadia - Focus on Inorganic
        Growth to be a Main Strategy - Deal Analysis from GlobalData
        Reference Code: GDME0034M&A                                                                                                         Publication Date: June 2011


        1         Table of Contents                                                                  2       Deal Summary
        1 Table of Contents.................................................................1        Thermo Fisher Scientific, Inc. has agreed to acquire Phadia AB
         1.1 List of Tables .................................................................1       for $3.5 billion cash from Cinven Ltd., a London-based private
         1.2 List of Figures ................................................................1       equity firm, and expects the deal to close in its fourth quarter,
        2 Deal Summary .....................................................................1
                                                                                                     2011.
        3 Thermo Fisher to Acquire Phadia - Focus on Inorganic
          Growth to be a Main Strategy ..............................................1               Thermo Fisher is a manufacturer of laboratory equipment and
         3.1 Transaction Details of the Deal .....................................1                  also provides other services to its wide variety of customers.
           3.1.1    Thermo Fisher to Acquire Phadia for $3.5 billion .1
                                                                                                     Phadia operates through two leading brands - ImmunoCAP for
           3.1.2    Thermo Fisher and Phadia in Favor of the Deal ...2
         3.2 Deal Analysis.................................................................2         allergy tests and EliA for autoimmunity tests. Phadia is the
           3.2.1    Circumstances Leading to the Acquisition............2                            global leader in the in-vitro allergy test segment and also leads
           3.2.2    Impact of the Deal ................................................4             in autoimmunity diagnostic testing in Europe. Following the
         3.3 Strategic Rationale ........................................................4           acquisition, Phadia will be part of Thermo Fisher's Specialty
           3.3.1    The Deal will Improve Thermo Fisher’s Position in                                Diagnostics business within its Analytical Technologies
                    the Specialty Diagnostics Segment ......................4                        Segment. The acquisition of Phadia is part of Thermo Fisher’s
           3.3.2    The Deal would Allow Thermo Fisher to Improve
                                                                                                     strategy to gradually move away from services and build up its
                    its Revenue in the Global In-Vitro Diagnostics
                    Market ..................................................................4       diagnostic products business.
           3.3.3    The Deal Enables Thermo Fisher and Phadia to
                    Attain Significant Cost Savings and Efficiency .....4                            3       Thermo Fisher to Acquire Phadia -
           3.3.4    Strong Pipeline of Phadia Attracted Thermo                                               Focus on Inorganic Growth to be a
                    Fisher ...................................................................5              Main Strategy
         3.4 Company Profiles ..........................................................5
           3.4.1    Thermo Fisher Scientific, Inc. ...............................5
           3.4.2    Phadia AB ............................................................6
                                                                                                     3.1     Transaction Details of the Deal
        4 Appendix ..............................................................................7   3.1.1    Thermo Fisher to Acquire Phadia for $3.5
         4.1 Research Methodology .................................................7                          billion
         4.2 Secondary Research .....................................................7
         4.3 Primary Research..........................................................7             Thermo Fisher has agreed to acquire Phadia from European
         4.4 Models ...........................................................................8     private equity firm Cinven for €2.47 billion ($3.5 billion). The
         4.5 Forecasts.......................................................................8       transaction is expected to be completed in the fourth quarter of
         4.6 Expert Panels ................................................................8         2011. The acquisition will be funded with about $500m with
         4.7 GlobalData Consulting ..................................................8
         4.8 Contact Us.....................................................................8        cash on hand and a combination of short and long term
         4.9 Disclaimer......................................................................8       financing. Barclays Capital is acting as the financial advisor for
                                                                                                     Thermo Fisher and would provide debt financing to the
        1.1       List of Tables                                                                     company for the deal. Goldman, Sachs & Co. is acting as
                                                                                                     financial advisor to Phadia.
        Table 1:       Acquisitions by Thermo Fisher, 2008–2011 .............3
        Table 2:       Phadia AB, Pipeline Products by Indication and                                This deal has strategic benefits for Thermo Fisher, but is credit
                       Development Stage, 2011 ........................................5             negative as it will increase its debt by about $3 billion. The
        Table 3:       Thermo Fisher Scientific, Net Sales by Business
                                                                                                     transaction is also expected to lead to an increase in the
                       Unit, ($m), 2009–2010 ..............................................5
        Table 4:       Phadia AB, Net Sales by Region ($m), 2008–2009 .6                             adjusted earnings per share by $0.26 to $0.30 per share in
        Table 5:       Phadia AB, Marketed Products ................................6                2012.

        1.2       List of Figures
        Figure 1:      In-Vitro Diagnostics Marke
								
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