Thermo Fisher Completes $17.4-Bn Acquisition of PPD
Thermo Fisher Scientific has completed its acquisition of PPD, a contract research organization, for $17.4 billion.
PPD provides a range of clinical research and laboratory services for drug development. In 2020, the company generated revenue of $4.7 billion and has approximately 26,000 employees globally. Thermo Fisher first announced plans to acquire PPD earlier this year (April 2021).
Thermo Fisher expects to realize total synergies of approximately $125 million by year three following close, consisting of approximately $75 million of cost synergies and approximately $50 million of adjusted operating income benefit from revenue-related synergies. In connection with the acquisition, Thermo Fisher will also assume approximately $3.0 billion in net debt of PPD.
With the addition of PPD, Thermo Fisher will offer a suite of services across the clinical development spectrum, from scientific discovery, to assessing safety, efficacy, and healthcare outcomes, to managing clinical trial logistics, to the development and manufacturing of the drug product. PPD will become part of Thermo Fisher’s Laboratory Products and Services Segment.
Source: Thermo Fisher Scientific