Date: 2015-10-15
Type of information: Company acquisition
Acquired company: Biomnis (France)
Acquiring company: Eurofins Scientific (Luxembourg)
Amount: € 220 million
Terms: * On October 15, 2015, Eurofins, a global leader in bio-analytical testing, and one of the world leaders in genomic services, announced the successful closing of the transaction to acquire 100% of the Biomnis Group on the 14th of October, 2015. As communicated on the 22nd of June, the Group intends to offer other prominent groups of laboratory networks in the clinical biology testing market in France the option to co-invest in Biomnis in the future. This planned partnership is in line with Eurofins’ intention to closely collaborate with all the stakeholders in the French medical laboratories sector to support them in fulfilling their objective of contributing to world-class patient care in France. Generating revenues of over € 220 million in 2014, Biomnis should provide Eurofins a strong platform on which to deploy the competencies in specialty clinical diagnostic testing that the Group has obtained, and continues to develop, at its recently-acquired laboratories in the US. In return, Biomnis will have access to the full range of Eurofins’ growing esoteric testing portfolio to further develop its leadership in specialty clinical diagnostic testing market in France, and more widely in Europe. As part of Eurofins’ plans to support Biomnis’ objective to become the leading specialty clinical diagnostics testing provider in Europe, its current leader, Dr. Charles Woler and the entire Biomnis management team will remain with the company. Furthermore, the Biomnis team is pleased to welcome Mr. François Cornu, a seasoned biologist renowned in the French clinical biology market, who will be joining as President of Biomnis specialty laboratory. * On June 22, 2015, Eurofins Scientific announced that it has signed an exclusive agreement with Financière Bio Alfras SAS to acquire the Biomnis Group for approximately € 220 million. The contemplated transaction is expected to be completed over the summer, subject to customary closing conditions including regulatory approvals and employees' representatives' information and consultation. Following the recent Biomnis restructuring, Eurofins expects that the company's EBITDA margin should progressively expand from the current low double-digit level towards industry standards and Eurofins' objective over the next few years. Through Biomnis, Eurofins intends to closely collaborate with the French health authorities, the local medical laboratories industry, as well as public and private hospitals, to support them in fulfilling their objective of ensuring world-class patient care in France. In the context of this partnership with the French Medical Biology profession, should this acquisition proceed successfully, Eurofins intends to offer other selected participants in the local clinical biology testing market in France the option to co-invest in Biomnis specialty laboratory.
Details: Biomnis is one of the main independent specialty/esoteric diagnostic testing service providers in France and Ireland. It is one of the largest independent laboratories in Europe focusing on specialty diagnostic testing, with a strong reputation in many areas including infectious diseases, supported by its renowned competence in molecular biology and cytogenetics. With over 100 years of laboratory testing excellence, Biomnis developed its expertise in high-complexity testing over the last 15 years through investments in state-of-the-art equipment and selected acquisitions. The company employs about 1,200 staff, provides its services in more than 40 countries and has generated over € 220 million revenues in 2014, three-quarters of which from specialty diagnostics services. Biomnis has 2 main sites in France (Lyon and Paris) and 1 site in Ireland. In addition, it owns 26 medical biology sites across France that run less complex tests, and are also channels for the specialty diagnostic tests which are then sent on to the laboratories in Paris or Lyon. The company is also active in clinical trials for the pharmaceutical industry, and in forensic testing. Biomnis serves mainly institutional clients including hospitals, pharmaceutical companies and a large number of other third party medical biology laboratories which outsource the more complex tests to Biomnis. Given the ongoing consolidation in the clinical testing sector in Europe, and specifically in France, the company is well-positioned to leverage and strengthen its footprint in the specialty diagnostic testing sector. Should the contemplated transaction come to closing, the addition of Biomnis to the Eurofins network would strengthen the Group's pharmaceutical and genomic service offering, and consolidate its growing presence in the specialty diagnostic testing sector, following the acquisition of ViraCor, Boston Heart and Diatherix in the US. Furthermore, Biomnis should provide the Group a strong platform in Europe on which to deploy its technical know-how in specialty clinical diagnostic testing, and strengthen its position in this sector in France, in addition to the acquisition of BioAccess. Eurofins' renowned capabilities in genomic testing, and its international presence, should support Biomnis in developing its portfolio of tests and services, as well as consolidate their client reach.
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