Healthcare and science provisions supplier Thermo Fisher Scientific Inc has decided to pursue the purchase of clinical and research provider PPD Inc in a deal worth $17.4 billion. This promises to be yet another game-changing deal in the health care sector, which has soared since the start of the coronavirus pandemic. According to a statement released on Thursday, Thermo will pay $47.50 a share for PPD while assuming $3.5 billion of the company’s debt.
Thermo’s decision to acquire PPD is largely based on PPD’s crucial role of offering clinical research services to assist with getting experimental drugs to market.
“The acquisition of PPD is a natural extension for Thermo Fisher,” chairman and chief executive officer Marc Casper declared in a statement.
Following this news, Thermo Fisher shares rose by 2.2% to $488.48 at 9:39 a.m. in New York trading while PPD shares gained 7%.
With a plethora of healthcare companies pursuing the rollout of COVID-19 vaccines, the drug-testing field occupied by the likes of PPD has skyrocketed in terms of activity. With the volume of COVID-19 cases remaining high in numerous countries across the globe, the value of clinical research organizations continues to soar.
