Sees deal completing in Q4 (Il Sole 24 Ore Radiocor) - New York, 16 Aug - Avantor, a US provider products and services in the life sciences and advanced technologies industries, announced the signing of a definitive agreement to divest its clinical services business, including kitting, biorepository, and related equipment and ancillaries , to Audax Private Equity for about 650 million dollars.

"Today's announcement is an important step for Avantor as we continue to optimize our portfolio in line with our new operating model," said Michael Stubblefield, president and CEO. "The divestiture enables us to enhance our focus on strategic growth opportunities in our lab and production businesses, while strengthening our balance sheet." The clinical services business has approximately 800 employees and is part of Avantor's Laboratory Solutions segment. It is expected to generate approximately 200 million dollars of revenue in 2024.

The transaction is expected to close in the fourth quarter of 2024. Avantor expects the deal to result in approximately 475 million dollars in after-tax cash proceeds and a reduction of approximately 50 million dollars in capitalized leases.

Avantor intends to utilize the proceeds for debt paydown.

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(RADIOCOR) 16-08-24 15:24:07 (0303) 5 NNNN