Cinven is reviewing strategic options for laboratory-services company Synlab International GmbH including a potential sale, people with knowledge of the matter said.
The private equity firm has been speaking with potential advisers and could start a sale process early next year, the people said, asking not to be identified because the information is private. Cinven plans to seek a valuation of about 5.5 billion euros ($6 billion) including debt for Augsburg, Germany-based Synlab, one of the people said.
A sale of Synlab would likely attract other private equity firms, the people said. No final decision has been made, and Cinven could elect to keep the business, the people said. A spokeswoman for Cinven declined to comment, while Synlab didn’t answer phone calls seeking comment.
Cinven first invested in Synlab in June 2015, buying a majority stake from fellow private equity firm BC Partners for about 1.7 billion euros, Bloomberg News reported at the time. It combined the business with Labco SA, which it agreed to buy earlier that year for 1.2 billion euros.
Synlab, led by Chief Executive Officer Mathieu Floreani, also counts Novo A/S and Ontario Teachers’ Pension Plan as minority investors, according to its website. It operates across more than 40 countries, handling more than 500 million clinical tests annually, according to Synlab’s website.
Cinven also owns stakes in retailer Kurt Geiger and German drugmaker Stada Arzneimittel AG, according to its website.
The sale plan comes at a time when Cinven’s rival Apax Partners is also weighing a sale of diagnostic services business Unilabs. The buyout firm is working with advisers at Rothschild & Co. to look at options for the business, people familiar with the matter said last week.
Source: Bloomberg
Can’t stop reading? Read more
ECI Partners buys business comms specialist Commify for £257m
Private equity firm ECI Partners has bought Nottingham-based business comms specialist Commify in deal values at £257m. The deal has seen Hg –which invests in European and transatlantic software and services companies – sell its stake in the business having backed...
7iM sells majority stake to OTPP in £450m deal
Caledonia Investments has agreed to sell its majority stake in Seven Investment Management (7IM) to Ontario Teachers' Pension Plan Board for a cash sum of approximately £255 million, net of transaction costs. As of 31 March 2023, Caledonia's stake in 7IM was valued at...
CVC to buy Dutch infrastructure firm DIF Capital Partners for €1bn
CVC bought a majority stake in Dutch infrastructure investor DIF Capital Partners in a deal worth €1bn in cash and shares. CVC, a leading global private markets manager focused on private equity, secondaries and credit is acquiring a majority stake in leading...