(Reuters) – Australia’s Sonic Healthcare Ltd said on Wednesday it has entered into a binding deal to acquire Medical Laboratories Duesseldorf (MLD), a clinical laboratory chain in Germany, for 180 million euros ($197.59 million) to beef up its infrastructure portfolio.
The acquisition will give Sonic access to MLD’s hub-and-spoke infrastructure around its central laboratory, including several branch and hospital sites across Germany’s Duesseldorf metropolitan region.
Sonic will be funding the buyout, expected to immediately add to its earnings per share, from existing cash and debt facilities, it said in a statement.
The healthcare provider forecasted revenues of about 50 million euros for MLD for 2024 and said the transaction is expected to occur before the end of 2023.
Earlier this month, the company signed a separate deal to acquire Diagnosticum group of laboratories in the South East of Germany, further bolstering its expansion plans in the country.
“Our partnership with Medical Laboratories Duesseldorf continues our focus on accretive expansion in the German market,” Sonic’s CEO Colin Goldschmidt said.
($1 = 0.9110 euros)
(Reporting by Roushni Nair in Bengaluru; Editing by Shailesh Kuber)
