EQT Private Equity has agreed to sell Aldevron, a producer of nucleic acids and proteins, to Danaher Corporation for $9.6 billion. EQT acquired a majority stake in Aldevron in July 2019 from TA Associates.
Aldevron’s nucleic acids, proteins, antibodies and mRNA are used in vaccines, gene and cell therapy, gene editing and diagnostic applications by academic and research institutions, pharmaceutical and biotechnology companies. Aldevron currently works with Moderna to support its manufacturing of COVID-19 vaccines.
According to a report from Jeffries, the $9.6 billion valuation is three times what EQT paid for the company in 2019 and is equal to almost 40x Aldevron’s estimated 2022 EBITDA.
The Fargo, North Dakota-based company was founded in 1998 by Michael Chambers and John Ballantyne and currently has just over 600 employees at its facilities in Fargo; Madison, Wisconsin; and Freiburg, Germany.
“Aldevron helps advance breakthrough science, and is a critical player in the medical community,” said Mr. Chambers. “We are grateful for EQT’s support over the past few years, and I am excited for Aldevron to partner with Danaher as we continue our journey.”
“Aldevron is integral to the development and supply of new types of therapies that address previously uncurable medical conditions,” said Eric Liu, a partner and co-head of healthcare at EQT. “We are proud to have supported Aldevron and its mission to deliver the highest quality products that help improve patient lives across the world.”
EQT invests in medium-sized companies operating in a range of industries in Northern Europe, Eastern Europe, China and the US. Sectors of interest include healthcare, industrials, services, and consumer products. The Stockholm, Sweden-based firm was founded in 1994 and has offices in 14 countries across Europe, Asia and North America.
Danaher designs, manufactures and markets professional, medical, industrial, and commercial products and services used in the life sciences, diagnostics, and environmental sectors. In March 2020, Danaher acquired General Electric Co’s biotechnology business – now named Cytiva – for $21 billion. Washington, DC-based Danaher, led by CEO Rainer Blair, has more than 69,000 employees and revenues last year exceeded $22 billion.
Morgan Stanley was the financial advisor to Aldevron on this transaction.
© 2021 Private Equity Professional | July 1, 2021