VWR acquired by Avantor: fairness opinion
Announced May 5, 2017 · Merger ·
DEFM14A filed June 14, 2017
Enterprise value
$6.6B
EV / LTM EBITDA
12.6x
EBITDA $524M · 11% margin
EV / LTM revenue
1.42x
revenue $4.6B
DCF discount rate
7.8%–9.3%
Deal terms
Consideration—
Price per share—
Premium—
Premium basis—
StructureMerger
Termination fee—
Reverse termination fee—
Go-shopNone
Outside date—
FilingDEFM14A · EDGAR index
3,000+ healthcare deal-level valuation multiples
The Valuation database includes financial details for more than 3,000 healthcare M&A transactions, private and public, with deal-level multiples, categorized by segment, type, and year.
Management projections
| Projection year | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | CAGR |
|---|---|---|---|---|---|---|
| Revenue | $4.9B | $5.2B | $5.5B | $5.8B | $6.1B | 5.7% |
| Revenue growth | 6.1% | 5.8% | 5.7% | 5.7% | 5.6% | |
| EBITDA | $576M | $632M | $689M | $751M | $817M | 9.1% |
| EBITDA growth | 9.9% | 9.7% | 9.0% | 9.0% | 8.8% | |
| EBITDA margin | 12% | 12% | 13% | 13% | 13% | |
| Implied EV / EBITDA | 11.4x | 10.4x | 9.5x | 8.8x | 8.1x |
Year-1 growth is against LTM at announcement ($4.6B revenue, $524M EBITDA); later years are year over year.
Other Diagnostics / Life Sciences fairness opinions
- Advanced Accelerator Applications / Novartis 2017
- Alere / Abbott Laboratories 2017 · 14.3x EV/EBITDA
- Abaxis / Zoetis 2018 · 41.3x EV/EBITDA
- FEI / Thermo Fisher Scientific 2016 · 15.1x EV/EBITDA
- Sequenom / Laboratory Corporation of America 2016
- Genomic Health / Exact Sciences 2019 · 32.2x EV/EBITDA