Thermo Fisher plans to acquire Millipore for $6 billion: report

Thermo Fisher Scientific Inc., the world's largest maker of lab instruments has reportedly made a $6 billion unsolicited takeover offer for smaller rival Millipore Corporation in order to expand its biotechnology business.

Citing a source who declined to be identified, Bloomberg reported today that Millipore has hired Goldman Sachs as financial adviser after receiving Thermo's bid and a deal may be reached as early as next week.

The merger, if completed, would create a company with about $11.8 billion in annual revenues. Thermo Fisher had $10.1 billion in sales last year, while Millipore's 2009 revenues were $1.65 billion.

The reported $6 billion bid or about $108 per share for Millipore by Thermo Fisher represents a premium of 46 per cent.

Massachusetts-based Thermo Fisher formed through the merger of Thermo Electron and Fisher Scientific in 2006, specialises in the field of scientific machinery for health-care services, as well as providing chemical supplies and medical services for hospitals and scientific research.

The company that reported $2.84 billion revenue for the fourth-quarter and forecasted sales of approximately $10.8 billion for 2010, would like to complement its consumables portfolio with Millipore's bioprocess and bioscience products as well as its water purifying and filter biotechnology products.

 Millipore, also Massachusetts-based, is an S&P 500 company and a life science leader provider for bioscience research and biopharmaceutical manufacturing.
It specialises in making filters and purifiers for water and other chemicals for the biotechnology drug industry.