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
Thoma Bravo’s SailPoint targets $11.5bn valuation in US IPO
Cybersecurity firm SailPoint is preparing to go public again in the US, targeting a valuation of up to $11.5bn in its upcoming IPO. Backed by private equity giant Thoma Bravo, the Austin-based company plans to raise up to $1.05bn by offering 50m shares, priced between...
Balbec Capital closes sixth credit fund at $1.7bn, marking record fundraise
Balbec Capital closed its latest credit fund, Insolve Global Credit Fund VI, securing over $1.7bn in commitments, making it the firm’s largest fundraising cycle to date. The fund attracted both new and existing investors, including sovereign wealth funds, pension...
The saga continues: Brookfield enters $1.9bn bidding war for Insignia Financial
Brookfield Asset Management joined Bain Capital and CC Capital in the race to acquire Insignia Financial, Australia’s third-largest superannuation provider, with a bid valuing the firm at AUD3bn ($1.9bn). Insignia confirmed Brookfield’s offer, which matches those...