GEN Exclusives

More »

GEN News Highlights

More »
Jan 19, 2007

GE Snags Abbott In Vitro Diagnostics and Point Of Care Businesses for $8.13B

  • Abbott is selling two of its laboratory diagnostics businesses to GE for $8.13 billion in cash. The deal includes the Abbott Diagnostics Division and Abbott Point of Care, which according to GE, is expected to generate net sales of approximately $2.7 billion in 2006.

    "The laboratory diagnostics market has changed considerably in the last decade," notes Miles D. White, chairman and CEO, Abbott. “Innovation in this segment will be increasingly driven by automation, system integration, and a host of skills that GE can offer. As part of GE, Abbott's core diagnostics and point-of-care businesses will be powerfully positioned to sustain and extend their market success."

    The in vitro diagnostics unit focuses on test tube laboratory testing equipment, while the point-of-care diagnostics arm makes products for hospitals and doctor surgeries that can test patients on-site.

    GE points out that Abbott’s in vitro diagnostics complement its existing positions in in vivo diagnostic imaging systems as well as its molecular imaging, information technology, and patient monitoring capabilities.

    “This acquisition is consistent with GE’s strategy to invest in high-technology global infrastructure businesses that deliver strong top-line growth, earnings expansion, and expanded margins,” comments Jeffrey R. Immelt, GE chairman and CEO. “Abbott’s diagnostics business is the premier platform in this industry and fits very well with our Healthcare strategy.”

    The companies expect to close this transaction during the first half of 2007. Abbott predicts it will be neutral to its earnings per share in 2007, excluding specified items, and accretive thereafter.



Jobs

GEN Jobs powered by HireLifeScience.com connects you directly to employers in pharma, biotech, and the life sciences. View 40 to 50 fresh job postings daily or search for employment opportunities including those in R&D, clinical research, QA/QC, biomanufacturing, and regulatory affairs.
 Searching...
More »

GEN Poll

More » Poll Results »

New Drugs for Ebola

Do you think that biopharma companies should not have to go through the normal drug approval process in order to get potential life-saving therapies to Ebola patients more quickly?