$255 million offered for Lee’s Summit company Viracor-IBT Laboratories
05/12/2014 7:36 PM
05/12/2014 7:36 PM
Viracor-IBT Laboratories Inc., a Lee’s Summit company that does immunology, infectious disease and allergy testing, has received a $255 million purchase offer from Eurofins Scientific, a publicly traded European company.
The Lee’s Summit business, together with a satellite facility in California, is primarily owned by Ampersand Capital, a private equity firm that focuses on the health care sector.
Viracor-IBT’s workforce of nearly 270 employees will be retained, and the company will continue to use the Viracor-IBT name, the companies said in a news release.
The deal, which opens a new U.S. market for Eurofins, is expected to be completed within 60 days.
Shares of Eurofins, which describes itself a “world leader in food and pharmaceutical products testing,” are listed on the NYSE Euronext Paris Stock Exchange. Eurofins has about 15,000 employees in more than 190 locations in 36 countries.
Viracor-IBT, which expects 2014 revenues of more than $80 million and earnings of $25 million, provides laboratory testing results to more than 4,000 health care providers, 550 institutional clients and 12 pharmaceutical companies.
Thomas W. Burnell, who prior to 2006 was chief executive and vice chairman for Eurofins Scientific, is Viracor-IBT’s president and CEO and a member of the board of directors. He also is co-owner and president of Milestone Business Management LLC, a private consulting firm focused primarily on transaction negotiation and “turnarounds” in health care.
Viracor-IBT’s roots date to the founding of IBT Laboratories in 1983. IBT specialized in translational science — bridging the gap between research and clinical practice — primarily in immunology and allergy.
IBT merged with Viracor, which was founded in 2000. Viracor specialized in research and development in infectious disease testing and fast turnaround time for patient results.
The companies said Viracor-IBT grew 10 percent in 2013.
Eurofins specializes worldwide in environmental laboratory services, agroscience, genomics and pharmacology. It said it intends to expand its work in biotechnology and analytical chemistry.
With this acquisition, Eurofins “strengthens both its pharmaceutical and genomic service” and provides “a leadership position in the specialty diagnostic testing market,” the company said in announcing the purchase offer.
Ampersand has managed about $1 billion in private equity partnerships over the last 20 years.