Danaher has agreed to acquire US-based molecular diagnostics company Cepheid for about $4bn.
Under the deal, Danaher will purchase all of Cepheid’s outstanding shares by paying $53.00 per share in cash.
Based in Sunnyvale of California, Cepheid is engaged in the development, manufacturing and marketing of molecular systems and tests.
The company produces GeneXpert systems, which can be used in genetic testing. They provide test results to manage infectious diseases.
Cepheid also produces Xpert tests that can be used in different applications, including healthcare-associated infections, sexual health, critical infectious disease, and oncology.
The firm offers 23 tests outside the US and 20 tests in the US.
Subject to customary closing conditions and regulatory approvals, the deal is expected to complete by the end of this year.
Once the deal concludes, Danaher will include Cepheid in its Beckman Coulter, Leica Biosystems and Radiometer businesses.
Danaher president and CEO Thomas Joyce Jr., said: "We expect Cepheid to be an excellent complement to our existing Diagnostics businesses and to expand our runway for growth across the platform.
“Cepheid's extensive installed base, test menu and innovative product offering contribute to its market leadership in molecular diagnostics and we expect it to strengthen our position in this high-growth segment."
Cepheid chairman and CEO John Bishop said: "
Image: Danaher to acquire molecular diagnostics company Cepheid. Photo: courtesy of stockimages at FreeDigitalPhotos.net.