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
Popeyes UK CEO foresees fried chicken market growth, attracting private equity
The UK’s fried chicken market is poised for significant expansion, creating new opportunities for private equity investment, according to Tom Crowley, CEO of Popeyes UK. Backed by TDR Capital, Popeyes UK plans to scale rapidly, expanding from 65 locations to 350 by...
Blackstone buys Potomac Energy Center to meet data center and AI energy demands
Blackstone Energy Transition Partners has acquired Potomac Energy Center, a 774-megawatt natural gas power plant in Loudoun County, Virginia. This move strengthens Blackstone’s focus on energy infrastructure to support growing power demands from data centers and AI...
Baker Tilly Netherlands teams up with British private equity firm Inflexion to drive growth through M&A
Baker Tilly’s Dutch arm has partnered with British private equity firm Inflexion in a landmark deal for the Dutch accountancy sector. Inflexion has acquired a 48% minority stake, while Baker Tilly’s 40 partners retain majority control with a 52% stake held through a...