Danaher, a science and technology company, has agreed to acquire biotech firm Aldevron from EQT Private Equity for an enterprise value of $9.bn.
Established in 1998, Aldevron is headquartered in Fargo, North Dakota, US. The company produces plasmid DNA, mRNA and recombinant proteins used in vaccines, gene and cell therapy, gene editing and diagnostic applications.
Aldevron offers its products to biotechnology and pharmaceutical clients for research, clinical and commercial purposes. It supplied the plasmid DNA utilised to produce mRNA Covid-19 vaccines, EQT noted.
EQT purchased a majority stake in Aldevron in 2019, investing along with TA Associates, founders and management to aid the biotech in developing biologics.
Aldevron has about 600 employees with operations in Fargo as well as Madison, Wisconsin. Recently, the company built a new 189,000ft2 manufacturing facility on its campus in Fargo.
Through this deal, the company expects to leverage Danaher Business System for bolstering its global reach and delivering quality products and services to customers.
Aldevron CEO Kevin Ballinger said: “Genetic medicine is the future and our field is expanding rapidly. EQT has been a great partner to us and played an important role in supporting our company as we scale.
“Danaher is an excellent strategic fit and new home for Aldevron, and we look forward to working with them.”
Danaher expects the acquisition of Aldevron to boost its genomic medicine capabilities.
The company plans to fund the acquisition with cash on hand and/or proceeds from the commercial paper issuance.
Danaher president and CEO Rainer Blair said: “For nearly 25 years, Aldevron has made tremendous contributions to the advancement of cell, gene and other novel therapies and vaccines.
“This acquisition will expand our capabilities into the important field of genomic medicine and help us support our customers and their critical mission to bring more life-saving therapies and vaccines to market faster.”
The deal is subject to customary conditions, including regulatory approvals.
After the acquisition closes, Aldevron will operate as a standalone entity under Danaher’s Life Sciences unit.