Platinum Equity Submits Binding Offer to Acquire LifeScan From Johnson & Johnson
March 16 2018 - 06:33AM
Platinum Equity announced today that it has submitted a binding
offer to acquire LifeScan, Inc. from Johnson &
Johnson (NYSE: JNJ) in a transaction valued at approximately $2.1
billion. LifeScan is a leader in blood glucose monitoring products
with 2017 net revenue of approximately $1.5 billion.
“We have great respect for Johnson & Johnson
and appreciate their confidence in our ability to execute,” said
Platinum Equity Chairman and CEO Tom Gores. “This is an important
investment for us in a business that serves millions of patients
around the world. We are committed to putting our financial
resources and global operating expertise to work in support of the
company’s core mission to improve the quality of life for people
living with diabetes.”
Headquartered in Chesterbrook, Pennsylvania and
Zug, Switzerland, LifeScan serves approximately 20 million patients
globally in more than 90 countries.
The company markets blood glucose monitoring
systems for home and hospital use under the global brand OneTouch.
The OneTouch portfolio includes personal blood glucose meters,
testing strips, lancets, point of care testing systems and
integrated digital solutions
“LifeScan has been a leader in diabetes care for
more than 30 years and has consistently developed and brought to
market industry leading products,” said Platinum Equity Partner
Jacob Kotzubei. “We have worked closely with Johnson & Johnson
to craft a divestiture solution for LifeScan that would create a
global standalone business and set the stage for continued
investment in growth and innovation.”
LifeScan President Valerie Asbury would continue
leading the business following the change in ownership.
“Once our offer is accepted we will work with
the management team to ensure a seamless transition on behalf of
patients, healthcare providers and the company’s employees around
the world,” added Mr. Kotzubei.
The acceptance period for the offer will end on
June 15, 2018, unless extended, and during that time, consultations
with relevant works councils are planned. If the offer is accepted,
the transaction would be expected to close by the end of 2018,
subject to the satisfaction of customary closing conditions.
Morgan Lewis is serving as legal advisor to Platinum Equity on
the acquisition of LifeScan.
About Platinum EquityFounded in
1995 by Tom Gores, Platinum Equity is a global investment firm with
$13 billion of assets under management and a portfolio of more than
30 operating companies that serve customers around the world. The
firm is currently investing from Platinum Equity Capital Partners
IV, a $6.5 billion global buyout fund. Platinum Equity specializes
in mergers, acquisitions and operations – a trademarked strategy it
calls M&A&O® – acquiring and operating companies in a broad
range of business markets, including manufacturing, distribution,
transportation and logistics, equipment rental, metals services,
media and entertainment, technology, telecommunications and other
industries. Over the past 22 years Platinum Equity has completed
more than 200 acquisitions.
Contact:
Dan Whelan, Platinum Equity
(310) 282-9202
dwhelan@platinumequity.com
Johnson and Johnson (NYSE:JNJ)
Historical Stock Chart
From Feb 2024 to Mar 2024
Johnson and Johnson (NYSE:JNJ)
Historical Stock Chart
From Mar 2023 to Mar 2024