International private equity firm Cinven is to sell an indirect minority stake in SYNLAB, a specialist in medical diagnostic services and specialty testing in Europe, to strategic investor Labcorp, a US-based provider of laboratory services.
Labcorp will acquire the indirect minority stake through an intermediate holding company established to hold the investment with SYNLAB and will be represented on the holding company board along with Cinven and the other co-investors.
The purchase price for this 15% stake was approximately €140m.
SYNLAB offers a full range of medical diagnostic services to patients, practising doctors, hospitals and clinics, governments and corporates. With more than 27,000 employees, including over 2,000 medical experts, SYNLAB operates in over 30 countries across four continents and has leading positions in many markets. The company performed approximately 600 million laboratory tests and achieved revenues of €2.64bn in 2023.
According to a press statement, SYNLAB has made significant progress under Cinven’s ownership and the leadership of CEO, Mathieu Floreani. The combination of a successful buy-and-build strategy, growth investments and a series of commercial and operational initiatives have enabled SYNLAB to achieve strong organic growth and successfully navigate a challenging market environment over the last two years.
Completion of the transaction, which is subject to regulatory approvals, is expected in the first quarter of 2025.
