Abbott and Alere Inc. have announced a definitive agreement for Abbott to acquire Alere, significantly advancing Abbott’s global diagnostics presence and leadership. Under the terms of the agreement, Abbott will pay $56 per common share at a total expected equity value of $5.8 billion. Abbott’s total diagnostics sales will exceed $7 billion after the close.
“The combination of Alere and Abbott will create the world’s premier point of care testing business and significantly strengthen and grow Abbott’s diagnostics presence,” said Miles D. White, chairman and chief executive officer, Abbott. “We want to offer our customers the best and broadest diagnostics solutions. Alere helps us do that.”
Upon completion of the transaction, the combined business will offer a broad point of care menu of infectious disease, molecular, cardiometabolic and toxicology testing, expanding Abbott’s platforms to include benchtop and rapid strip tests.
“Today’s announcement marks an exciting and transformative milestone for Alere and one that provides an immediate benefit for our stockholders,” said Namal Nawana, president and chief executive officer, Alere. “Our leading platforms and global presence in point-of-care diagnostics, combined with Abbott’s broad portfolio of market-leading products, will accelerate our shared goal of improving patient care.”
Headquartered in Waltham, Mass., Alere employs nearly 10,000 personnel worldwide and has annual sales of $2.5 billion. Alere delivered more than 1.4 billion tests at the point of care in 2015. Alere’s tests are focused on the areas of infectious disease, molecular, cardiometabolic and toxicology.
In addition to tests for infections such as HIV, tuberculosis, malaria and dengue that can benefit people in remote care settings, Alere develops simple, rapid tests, including Alere i, the first molecular CLIA-waived test for flu and strep, that delivers results in under 15 minutes.