Thermo Fisher Scientific To Acquire Olink For $3.1 Bln

(RTTNews) - Diagnostics & Research company Thermo Fisher Scientific Inc. (TMO) announced on Tuesday that it will be acquiring Olink Holding AB (OLK), a Swedish diagnostic company for $26 per common share or ADS in all-cash transaction.

The total value of the consideration is around $3.1 billion, including a net cash of approximately $143 million.

The deal represents a premium of around 74 percent to the closing price of Olink's American Depositary Shares that trade on NASDAQ on October 16, the last trading day prior to the announcement of the transaction.

The company expects to fund the acquisition through a combination of cash and debt financing.

According to Thermo Fisher, Olink is on track to deliver over $200 million of revenue in 2024 and is expected to grow mid-teens organically as a part of the company. The transaction is expected to add a value of $0.10 and the company anticipates realizing around $125 million of adjusted operating income from revenue by year five after the transaction close.

The deal is expected to close by mid-2024.

In pre-market activity, Thermo Fisher shares are trading at $481.50, down 1.44% on the New York Stock Exchange and on Monday, Olink shares closed at $14.98 up 0.47% on Nasdaq.