Thermo Fisher acquiring Life Tech

Thermo Fisher Scientific Inc. (NYSE:TMO) will acquire Life Technologies Corp. (NASDAQ:LIFE) for $76 per share in cash, which the companies said values Life Tech at about $13.6 billion on a fully diluted basis. Thermo Fisher also will assume Life Tech's net debt. The price is a 12% premium to Life Tech's close of $68 on Friday, before the deal was announced, and a 38% premium to Life Tech's close on Jan. 17, before the tools and reagents company announced its board retained Deutsche Bank and Moelis & Co. to assist in the company's annual strategic review. Life Tech had 2012 revenues of $3.8 billion. At Dec. 31, 2012, the company had about $2.2 billion in debt. Thermo Fisher reported 2012 revenues of $12.5 billion.

The boards of both companies have approved the deal, which is subject to approval by Life Tech shareholders. The deal is expected to close in early 2014. JPMorgan and Barclays are advising Thermo Fisher. The supply and services company said it will finance the deal through a combination of cash and a bridge loan from its advisors, as well as up to $4 million in equity. ...