Since February 2016, we’ve followed the testy merger between Abbott (NYSE: ABT) and Alere’s (NYSE: ALR) agreement to merge, followed by the respective lawsuits, and then the price renegotiation. Half way through 2017, the $5.3 billion deal is getting closer to completion, as Alere spins off some assets to comply with antitrust regulations.
The first to go is Alere’s Triage® MeterPro cardiovascular (CV) and toxicology assets (“Triage business”), together with the B-type Naturietic Peptide (BNP) assay business run on Beckman Coulter analyzers (“BNP business”). The buyer is Quidel Corporation (NASDAQ: QDEL), which will acquire the Triage business, including real estate for the San Diego Triage facilities, and the BNP business for a total consideration of $400 million plus $40 million in contingent consideration.
Triage® MeterPro revenues were $146 million in 2016, and estimated revenues for the BNP business were $51 million over that same period, for a total of $197 million. Financial terms of the deal work out to 2.03x revenue.
The Triage® MeterPro installed base of cardiovascular and toxicology instruments is complementary to Quidel’s Sofia® installed base of instruments, providing a strategic position in new, fast growing areas of POC testing. Quidel will distribute the Triage® MeterPro products and BNP assays through a combination of direct sales force and distributors.
