Bruker BioSciences plans to acquire the companies of Bruker BioSpin group in a deal worth $914 million. This includes a cash payment of $388 million plus 57.5 million shares of Bruker BioSciences. The stock was worth $526 million based on a trailing 10 trading day average closing price of $9.14.
The acquisition is expected to close in early 2008. Excluding transaction fees, the acquisition is expected to be highly accretive for Bruker BioSciences and should significantly improve its operating margin and cash flow profile, according to the company.
After the closing of this acquisition, Bruker BioSpin will join the existing Bruker BioSciences operating companies, Bruker AXS, Bruker Daltonics, and Bruker Optics. The combined company is expected to be renamed Bruker and will have anticipated 2007 pro forma revenue in excess of $900 million, and over 3,700 employees serving its customers worldwide, Bruker BioSciences reports.
Bruker BioSpin designs, manufactures, and distributes enabling life science and analytical research systems based on magnetic resonance core technology. The new Bruker will thus have a range of magnetic resonance, mass spectrometry, x-ray analysis, elemental analysis, and molecular spectroscopy platforms as well as superconducting magnet and wire technology.