Agilent Technologies Inc. today announced it has signed a definitive agreement to acquire privately-owned BioTek Instruments for $1.165 billion. With anticipated tax benefits for Agilent, the net purchase price is expected to be approximately $1.05 billion.
BioTek is a global leader in the design, manufacture and distribution of innovative life science instrumentation. Its comprehensive product line includes cell imaging systems, microplate readers, washers, dispensers, automated incubators and stackers. These products enable life science research by providing customers with high performance, cost-effective analysis across diverse applications. BioTek generated revenues of $162 million in fiscal year 2018 ending December 31 and is expected to grow approximately 10 percent in 2019.
The transaction is expected to be completed in Agilent’s fiscal fourth quarter of this year, subject to regulatory approvals and customary closing conditions. Agilent expects the acquisition will be accretive to non-GAAP earnings per share, contributing $0.02- $0.04 for fiscal year 2020, and compounding growth thereafter.
BioTek represents a strong strategic fit with Agilent. The combination of these two companies will accelerate our multiyear growth strategy to expand our position in cell analysis. This is another example of Agilent investing in high-growth segments of the life sciences market to serve new and existing customers. Agilent is committed to continuing operations in Vermont and retaining the great team of nearly 500 employees that have been at the core of BioTek’s 50-year history of excellence and success.”
Mike McMullen, president and CEO, Agilent
BioTek and Agilent have already been in partnership for over a year, successfully unlocking significant value through joint development of customer solutions. Both companies share the same focus on customers and employees, as well as a similar purpose, mission and values. I am confident that this is the winning formula for our employees and customers around the world.”
Briar Alpert, CEO, BioTek
Expanding portfolio and leadership in cell analysis
Agilent entered the cell analysis segment in 2015 with the acquisition of Seahorse Bioscience, a leader in providing specialized instruments and live-cell, kinetic assays. Agilent Seahorse XF technology was a leap in the evolution of cellular metabolism analysis, allowing researchers to better understand metabolic profiles in live cells.
In January 2018, Agilent broadened its portfolio of cell analysis solutions through the acquisition of Luxcel Biosciences. Luxcel’s assays use soluble sensors to analyze metabolism, making them a perfect complement to Agilent’s Seahorse XF technology, providing researchers with more options to analyze live-cell metabolism.
In September 2018, Agilent differentiated its portfolio further through the acquisition of ACEA Biosciences, a pioneer in the development and commercialization of high performance cell analysis platforms for life science research. Upon closing, the size of Agilent’s cell analysis business will be in excess of $250 million in annual revenues.
By combining BioTek’s offerings with Agilent’s, we will deliver a breadth of differentiated workflows, enabling customers to obtain deeper, more reliable insights across a variety of cell analysis applications. This positions Agilent well in the large and growing immuno-oncology and immunotherapy markets and expands our presence in biopharma, academia and research as customers seek to understand complex cellular environments and interactions.”
Jacob Thaysen, president of Agilent’s Life Sciences and Applied Markets Group