Healius buys bioanalytical lab, Agilex for $301.3mn
SYDNEY, AUSTRALIA: Healius (ASX: HLS) has entered into an agreement to acquire the entire issued capital of Agilex, one of Australia’s leading bioanalytical laboratories.
The transaction values Agilex at an enterprise value of $301.3 million.
The acquisition is subject to minimal conditions, customary for a transaction of this nature, and is expected to complete at the end of January 2022.
Healius’ Managing Director and CEO, Dr Malcolm Parmenter, said: “The acquisition of Agilex is an exciting opportunity for Healius.
Agilex has a talented scientific team with state-of-the-art laboratories and culturally complements Healius. It’s a logical entry point for Healius into the attractive global bioanalytical laboratory services market, and one in which Australia and Agilex, in particular, is well-placed to service.
“We see Agilex as a long-term strategic acquisition that adds a global orientation to the Healius network. A business that is growing fast, in a fast-growing market. Agilex is well placed to realise a material step-change in earnings growth over the near to medium-term”.
Agilex is one of Australia’s leading bioanalytical laboratories with 25 years’ experience in performing regulated bioanalysis.
Employing over 100 scientific professionals across its Adelaide and Brisbane laboratories, Agilex provides a comprehensive suite of bioanalytical services to meet the end-to-end clinical trial needs of biotech and pharmaceutical companies across all major therapeutic areas, with a particular focus and expertise in oncology, the largest and fast-growing therapeutic area for clinical trials.
The acquisition delivers several strategic benefits to Healius:
A platform for growth via a unique Australian entry point into the attractive global clinical trial sector with opportunities for both organic and inorganic growth;
Balances Healius’ existing cash generative, mature businesses with a high margin and capital-light business with immediate and long-term growth potential;
Diversification of revenue with a portfolio of global biotech, pharmaceutical and clinical research organisation customers; biotech & pharmaceutical R&D funding is growing globally and is increasingly outsourced due to better speed and cost-effectiveness for sponsors, as well as growing complexity of clinical trials;
Increases innovation and scientific / clinical R&D capabilities of Healius, adding to existing strengths in genetics and histopathology;
Agilex is a logical adjacency to Healius’ core diagnostics business and the acquisition offers a range of complementary capabilities including across laboratory operations, technical staff recruitment and development, procurement, and back-office services; and
Alignment with Healius’ strategic vision as a best-in-class operator of healthcare and laboratory businesses across multiple healthcare verticals.
Healius was advised by Gresham Advisory Partners and King & Wood Mallesons.
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