Insight journal - Dealtalk

Danaher finally gets Beckman Coulter

Posted on 08 February 2011


Investors reacted positively to Danaher's announcement that it had agreed to acquire Beckman Coulter for an overall total of $6.8 billion, its biggest ever takeover deal.

Danaher's stock was up 2% on the deal news, reflecting the consensus that diagnostics has a positive future what with ageing populations around the world.

With annual revenues of approximately $3.7 billion, Beckman Coulter develops, manufactures and markets products that simplify, automate and innovate complex biomedical testing.

The purchase price represents 1.8x sales and 8x EBITDA - in line with past deal multiples offered by Danaher.

Beckman Coulter effectively put itself up for sale in December 2010 after a series of bad news stories hit the company, including a damaging product recall and departure of its CEO.

The high price paid was as a result of a competitive bidding war for Beckman which included several private equity companies. In addition, it was reported that Thermo Fisher was interested in making a bid.

As a result the price had to be right in order to attract investor attention.

Steve Poile


Related items:

Purchase the Dealdoc
View the deal terms
See this deal on the 2011 M&A Scorecard
View this deal and thousands more at Current Agreements (subscription required)

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