Thermo Fisher expands biologics capacity with US$4.1B acquisition
GLOBAL – Thermo Fisher Scientific Inc., a leading provider of analytical instruments and laboratory solutions, recently announced its agreement to acquire Solventum’s Purification & Filtration (PF) business for approximately US$4.1 billion in cash.
The deal, expected to close by the end of 2025 pending regulatory approvals, will bolster Thermo Fisher’s bioproduction capabilities.
Solventum’s PF business specialises in purification and filtration technologies essential for biologics production, medical technologies, and industrial applications.
Operating across the Americas, Europe, the Middle East, Africa, and the Asia-Pacific region, the business generates approximately US$1 billion in annual revenue and employs around 2,500 professionals.
Its integration into Thermo Fisher’s Life Sciences Solutions division is set to enhance the company’s bioprocessing portfolio globally.
“As the trusted partner to our customers, Solventum’s Purification & Filtration business will add differentiated capabilities to our bioprocessing portfolio, allowing us to serve this better rapidly growing market,” said Marc N. Casper, chairman, president, and chief executive officer of Thermo Fisher. “We look forward to welcoming our new colleagues.”
Thermo Fisher expects the acquisition to yield long-term growth, with projected mid-to-high single-digit organic revenue increases.
The transaction is anticipated to contribute US$0.28 per share in the first year, excluding financing costs, and generate approximately US$125 million in adjusted operating income through revenue and cost synergies by year five.
Meanwhile, Solventum expects to receive an estimated US$3.4 billion in net proceeds, primarily used to reduce its current debt.
This strategic move follows Thermo Fisher’s recent workforce reduction at two of its U.S. viral vector manufacturing sites to streamline its core business.
In response to shifting customer demand, the company announced layoffs impacting 300 employees at its facilities in Cambridge and Plainville, Massachusetts.
The restructuring, disclosed via a Worker Adjustment and Retraining Notification (WARN), takes effect on March 30.
“In light of recent shifts in customer timelines and utilisation needs, we are making strategic business adjustments, including headcount reductions at our Cambridge and Plainville sites,” a Thermo Fisher spokesperson told Pharmaceutical Technology.
“Decisions affecting our colleagues and their families are never taken lightly, and we are committed to providing job transition support.”
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