Thermo Fisher Scientific has signed an agreement to sell its Cole-Parmer Instrument Company to GTCR for $480 million in cash. GTCR’s investment in Cole-Parmer will be funded from GTCR Fund XI, a private equity fund raised in 2014 with $3.8 billion of capital commitments. The transaction is expected to close in the third quarter.
“The acquisition of Cole-Parmer from Thermo Fisher underscores GTCR’s extensive experience in corporate carve-outs, and highlights GTCR’s continued enthusiasm for investing in companies that serve the broader life sciences industry,” said Sean Cunningham, Managing Director at GTCR.
Cole-Parmer is a manufacturer and distributor of specialty laboratory equipment, instruments and supplies to a range of customers in pharmaceutical, biotech, healthcare, chemicals, food and other research-based or regulated markets. The business has technical expertise across a range of specialty products in the field of fluid handling, test & measurement, electrochemistry and other laboratory products. The business had approximately $230 million in revenues in 2013 and is part of Thermo Fisher’s Laboratory Products and Services Segment. The company was founded in 1995 and is based in the Chicago suburb of Vernon Hills, IL (www.coleparmer.com).
“We are excited to acquire Cole-Parmer from Thermo Fisher,” said Dean Mihas, Managing Director at GTCR. “We believe Cole-Parmer’s strong reputation, management team and portfolio of leading brands provides a unique position within the diverse end-markets it serves. GTCR looks forward to investing in the business and building a leading company within the life sciences and lab supply industry.”
Thermo Fisher Scientific (NYSE:TMO) is a biotechnology product development company, created in 2006 by the merger of Thermo Electron and Fisher Scientific. The company also sells analytical instruments, equipment, reagents and consumables, software and services for research, manufacturing, analysis, discovery and diagnostics. Revenues for 2013 were approximately $13.1 billion. The company is based in Waltham, MA (www.thermofisher.com).
GTCR pioneered the investment strategy of identifying and partnering with executives to acquire and build companies through a combination of acquisitions and internal growth. The firm currently has nearly $11 billion in assets under management. Since its inception in 1980, GTCR has invested more than $10 billion in over 200 companies. The firm is based in Chicago (www.gtcr.com).
Credit Suisse served as financial advisor to GTCR and will provide financing for the transaction. Kirkland & Ellis served as legal counsel to GTCR.
2014 PEPD • Private Equity’s Leading News Magazine • 7-17-14