Spectris plc (‘Spectris’) (LSE: SXS), the productivity-enhancing instrumentation and controls company, today announces that it has completed the acquisition of Concept Life Sciences from Equistone Partners Europe and company management. The purchase consideration of £163 million, on a debt and cash-free basis, will be met from existing cash and bank facilities.
Concept Life Sciences is a UK-based group providing integrated drug discovery, development, analytical testing and environmental consultancy services to an international customer base, mainly in the pharmaceutical, biotechnology, agrochemical and environmental sectors. Additionally, it carries out development and analytical services for the food, consumer and environmental industries. The gross assets of Concept Life Sciences at December 2016 were £73.4 million. Pro-forma revenue (including the full-year impact of acquisitions) in the year to December 2017 was £48.7 million and pro-forma EBITDA was £9.3 million. The business has a history of delivering double digit growth and we expect that to continue.
This acquisition adds test service capabilities to Spectris’ Materials Analysis segment, where it has strong synergies with the activities of Malvern Panalytical, especially in the pharmaceutical, biopharmaceutical and agrochemical markets. These markets are expected to continue to grow as a result of increasing regulation, the complexity of pharmaceutical R&D and investments in new therapies, particularly protein-based pharmaceuticals.
John O’Higgins, Chief Executive, said:
“Concept Life Sciences is a high-quality services business which further strengthens our portfolio and enhances our ability to provide customers within the pharmaceutical, life sciences and advanced materials sectors with a combined product and service proposition.”
