March 31 (Reuters) – Sartorius (SATG.DE) said on Friday it would acquire France-based biotechnology company Polyplus for 2.4 billion euros ($2.62 billion) from private investors including Archimed and WP GG Holdings IV B.V., an affiliate of Warburg Pincus.
The deal, carried out through the German lab equipment maker’s French unit Stedim Biotech (STDM.PA), is expected to close during the third quarter of 2023, it said.
Sartorius’ shares dropped 2.3% at 07:13 GMT, while shares in its French unit fell 3.9%.
Sartorius will receive a bridge loan facility from JP Morgan for a transitional period to finance the transaction, it said.
It added it plans to refinance the loan with long-term financing instruments, which might also include an equity component.
Jefferies LLC acted as financial advisor and Kirkland & Ellis LLP provided legal counsel to Polyplus, it said, while William Blair served as financial advisor and Milbank LLP and Jeantet provided legal counsel to Sartorius.
Polyplus, which was founded in 2001 and has locations in France, Belgium, the U.S. and China, is expected to generate sales in the upper double-digit million-euro range and a “very substantial” core profit (EBITDA) margin in 2023, Sartorius said.
($1 = 0.9173 euros)
Reporting by Linda Pasquini, Editing by Rachel More
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