Beckman Coulter is expanding its clinical chemistry business with the purchase of Tokyo-based Olympus' Life Sciences diagnostic systems. The deal is worth ¥77.45 billion--about $800 million. Beckman will finance the deal with a combination of newly-issued stock ($300 million) and new debt ($500 million).
According to a statement, the buyout will expand Beckman Coulter's Chemistry offering, particularly in larger hospital laboratories and university laboratories. It will also increase the company's immunoassay reach into its chemistry installed base. Olympus Diagnostics business is expected to increase Beckman Coulter's revenue by approximately $500 million by 2010, and generate about $40 to $50 million in operating on a full-year basis.
"This compelling transaction combines the chemistry product lines of our two companies into a complete chemistry systems offering," said Scott Garrett, Beckman Coulter's CEO. "It enhances Beckman Coulter as a leading provider of chemistry products with additional opportunities to expand our immunoassay reach into their chemistry installed base. Customers will benefit from the expanded range of products, particularly those large hospital and university laboratories where higher throughput systems are preferred."
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